SAN FRANCISCO >> As Jack Dorsey heads to Twitter to steer that company through a rocky patch, his other company, Square, is staring down a future that just got a whole lot murkier.
Square, financial services, merchant services aggregator and mobile payments firm, finds itself without a full-time leader at a critical juncture — it is losing money and competition is steep. With Dorsey, Square’s cofounder and CEO, taking over the chief executive post at Twitter on an interim basis, speculation — which Dorsey did not deny when asked Thursday — abounds that he wants the Twitter gig permanently.
If that happens, Square will likely find itself looking for a new leader and perhaps a bigger company to buy it, say analysts who study the company and payments industry.
“It’s been the case for at least two or two and a half years now that Square has tried to position itself to get sold,” said Sam Hamadeh, founder and CEO of PrivCo, a financial data provider on major privately-held companies. “Everyone in M&A knows that they are shopping the company around. They are really hoping someone like Google steps up and buys them, they are praying for that, because the financials are horrific.”
Santa Cruz Sentinel Business, June 12, 2015
READ FULL ARTICLE