Twitter Interim CEO Jack Dorsey Buys More Shares in Show of Faith

Twitter Inc. Interim Chief Executive Jack Dorsey edged up his stake in the social-media company, showing support as it maneuvers through a leadership transition and struggles to grow its user base.

Chris Sacca, that large Twitter shareholder who publicly laid out the company’s problems leading up to Costolo’s resignation, cheered Dorsey’s decision to put more financial skin in the game in a tweet on Monday. He included a link to the Securities and Exchange Commission filing disclosing his purchase.

Dorsey now owns about 21.9 million shares, or about 3 percent of Twitter.

Twitter’s shares have been up 6.6 % at $28.83 at noon. Another Twitter board member Peter Fenton bought about $200,000 in stock on Friday. Anthony Noto, Twitter’s CFO, bought up about 7,000 shares last week as well. When a new company comes to market, investor decisions are “all about confidence in management”, she said.

At the time of Twitter’s IPO, the company was heralded as a high-growth stock with the potential to be the next Facebook Inc. Dorsey is a founder and chief of Square, which is set for an initial public offering. Twitter closed down 2% to $27.04 on Friday, the lowest prince since the company went public in November 2013.

Twitter Inc(NYSE:TWTR) is considering a change in the lineup involving the exit of former Chief Executive Officer Dick Costolo, resources familiar to the affair claimed.

Aside from Dorsey, other possible candidates for CEO include former Yahoo Inc CEO Ross Levinsohn; Mike McCue, CEO of newsreader app company Flipboard; Instagram founder Kevin Systrom; and Evan Williams, CEO of blogging website Medium, according to SunTrust Robinson Humphrey.