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http://www.foxbusiness.com/markets/...soft-offers-buy-yahoo-31-share_461142_12.html
Friday, Feb. 1 2008
Microsoft Offers to Buy Yahoo for $31 a Share
Microsoft Corp. (MSFT: 32.60, +0.40, +1.24%) has offered to acquire Yahoo
(YHOO: 19.18, +0.13, +0.68%) in a cash and stock deal valued at $44.6
billion.
The deal, which, at $31 a share represents a 62 percent premium on Yahoo
shares, is an unsolicited offer, coming a year after Yahoo rejected a
similar combination.
It would be one of the largest technology acquisitions ever, and certainly
the largest for Microsoft, dwarfing the company's $6 billion deal for
aQuantive last year.
The offer comes as older, more established tech giants like Microsoft and
Yahoo struggle to the newer threats posed by Google (GOOG: 564.30, +16.03,
+2.92%), which dominates the online-search landscape.
"Our lives, our businesses, and even our society have been progressively
transformed by the Web, and Yahoo! has played a pioneering role by building
compelling, high-scale services and infrastructure," said Ray Ozzie, chief
software architect at Microsoft said in a press release announcing the
offer. "The combination of these two great teams would enable us to jointly
deliver a broad range of new experiences to our customers that neither of us
would have achieved on our own."
Under terms of the offer, Yahoo shareholders would receive cash or a fixed
number of shares of Microsoft common stock, with Yahoo shareholders getting
one-half cash and one-half Microsoft common stock.
Yahoo officials weren't immediately available to comment.
Friday, Feb. 1 2008
Microsoft Offers to Buy Yahoo for $31 a Share
Microsoft Corp. (MSFT: 32.60, +0.40, +1.24%) has offered to acquire Yahoo
(YHOO: 19.18, +0.13, +0.68%) in a cash and stock deal valued at $44.6
billion.
The deal, which, at $31 a share represents a 62 percent premium on Yahoo
shares, is an unsolicited offer, coming a year after Yahoo rejected a
similar combination.
It would be one of the largest technology acquisitions ever, and certainly
the largest for Microsoft, dwarfing the company's $6 billion deal for
aQuantive last year.
The offer comes as older, more established tech giants like Microsoft and
Yahoo struggle to the newer threats posed by Google (GOOG: 564.30, +16.03,
+2.92%), which dominates the online-search landscape.
"Our lives, our businesses, and even our society have been progressively
transformed by the Web, and Yahoo! has played a pioneering role by building
compelling, high-scale services and infrastructure," said Ray Ozzie, chief
software architect at Microsoft said in a press release announcing the
offer. "The combination of these two great teams would enable us to jointly
deliver a broad range of new experiences to our customers that neither of us
would have achieved on our own."
Under terms of the offer, Yahoo shareholders would receive cash or a fixed
number of shares of Microsoft common stock, with Yahoo shareholders getting
one-half cash and one-half Microsoft common stock.
Yahoo officials weren't immediately available to comment.
