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Microsoft Raises Yahoo Bid



Well, that SOMETHING has finally happened, but no one is really willing to be much more specific than that. However, anonymous sources who apparently don’t know enough to give a hard number (or don’t want to get in trouble) say that Microsoft has increased its bid for Yahoo.

The AP reports that Microsoft’s price will now exceed its original offer of $44.6 billion ($31/share). Microsoft had lowered the offer to $42.4 billion, and its exact value has fluctuated with stock prices. However, Yahoo stockholders were rumored to be holding out for at least $35/share. Analysts have long predicted that the deal would come once the price came into the $32-35/share range.

Yahoo’s stock price has steadily risen over the course of the day as rumors have persisted that a Microsoft and/or Google deal was imminent.

The New York Times, who originated the story, has a more mixed verdict:

Microsoft, which had threatened to abandon its bid, has increased its offer “by several dollars” per share, one of those involved said.

A deal, however, was not close Friday night, these people said.

Insiders caution that a deal is not a foregone conclusion, but it seems that both sides want to avoid a hostile takeover. Microsoft’s move looks like a clear indicator of that.

News looks as though it will drag on through the weekend. Y’know, if not for the rest of our natural lives.

  • http://yourgreatestgifts.co.uk Wii guy

    It appears that Microsoft will finally acquire Yahoo. Althogh Windows Live is certainly becoming popular as a search entity, the purchase of Yahoo will reinforce that Microsoft are serious about competing online with Google.

    I am personally pleased that they didn’t go down the hostile bid route as alienating the Yahoo employees is not the way to do it.

    John

  • http://multiple-choice-questions.blogspot.com/ Sachin

    Yahoo is worth much more than this as people are now prone to Yahoo! after nearly more than 14 years and Yahoo is amazing.

  • http://www.exposedseo.com seo dude

    I always said its only the matter of time before Microsoft takes them over.

  • http://www.greatpriceshere.com Nicole

    MS, if it acquires Yahoo, will loose employees of the latter. No two ways about it. That is one of the main reasons for the low price being offered.

  • http://www.seoresults.co.za Web Marketing Man

    So that’s it then….just watch Yahoo! stock on monday morning….

  • http://www.newhomessection.com Jayson

    Good, hopefully something finally does happen. If they do combine, I’m interested in seeing how they go about it.

  • http://chasinggoogle.blogspot.com/ Elections guy

    It’s kind of old news now.

    Elections guy’s last blog post..Polls before Pennsylvania primary: Obama most popular

  • http://mp3leben.com Tiffany

    This fact seems strengthen my prediction that Microsoft soon will merge with Yahoo.