Microsoft offers US$44 billion for Yahoo

 

Microsoft has offered to buy Yahoo for US$31 per share, a 62 per cent premium on the closing price of US$19.18 on 31 January, equating to a total equity value of US$44.6 billion..

The offer was made by Microsoft chief executive Steve Ballmer in a letter to Yahoo's board of directors.

"We have great respect for Yahoo, and together we can offer an increasingly exciting set of solutions for consumers, publishers and advertisers while becoming better positioned to compete in the online services market," wrote Ballmer.

Yahoo has been one of Microsoft's closest competitors in the search engine space, but both are completely overshadowed by Google.

Although the combined power of Microsoft and Yahoo would not overtake that of Google's, the acquisition would provide both companies with a lot more clout.

The offer allows Yahoo to receive cash or a fixed number of shares of Microsoft common stock. Yahoo shareholders would get one half cash and one half Microsoft common stock.

Should Yahoo agree to the deal, Microsoft expects that the acquisition would be completed in the second half of 2008, pending all necessary regulatory approvals.

Copyright ©v3.co.uk


Microsoft offers US$44 billion for Yahoo
 
 
 
Top Stories
ATO releases long-awaited Bitcoin guidance
Everyday investors escape the tax man.
 
Why the Weather Bureau’s new supercomputer is a 'gamechanger'
IT transformation starts to reap results.
 
Sydney Trains chief thinks beyond Opal
Plots app to help you find a seat on the train.
 
 
Sign up to receive iTnews email bulletins
   FOLLOW US...
Latest articles on BIT Latest Articles from BIT
Run a small business in western Sydney?
Aug 15, 2014
This event might be of interest if you're looking to meet other people with a similar interest ...
Buying a tablet? Microsoft's Surface Pro 3 goes on sale this month
Aug 8, 2014
Microsoft has announced its Surface Pro 3 will go on sale in Australia on 28 August from ...
Apple's top MacBook Pro with Retina is now cheaper
Aug 1, 2014
Apple has updated its MacBook Pro range with faster processors and new pricing, including ...
Pass on carbon tax savings, warns ACCC
Jul 24, 2014
The ACCC is warning businesses that supply "regulated goods" to pass on any cost savings ...
Have customers that won't pay debts?
Jul 10, 2014
The ACCC and ASIC have updated their advice when it comes to collecting debts.
Latest Comments
Polls
Which is the most prevalent cyber attack method your organisation faces?




   |   View results
Phishing and social engineering
  66%
 
Advanced persistent threats
  3%
 
Unpatched or unsupported software vulnerabilities
  12%
 
Denial of service attacks
  7%
 
Insider threats
  12%
TOTAL VOTES: 414

Vote