Microsoft Wants To Buy Yahoo

Posted by Ruck in February 1st 2008

Ok if you have missed this then you must have been under a rock this morning. You can read the full story here but:

Technology giant Microsoft Corp said on Friday that it had offered to acquire Internet media company Yahoo Inc for $44.6 billion in cash and stock.

Microsoft said it had offered to buy Yahoo for $31 per share, which it said represented a 62 percent premium above the company's closing stock price on Nasdaq on Thursday.

If this goes thru I see this as a GIGANTIC move on Microsoft's part. This would be nice if they could get their shit together and start putting up more of a fight with Big Daddy in the Search Wars. I like advertising on MSN when my stuff is running but I also like Yahoo as well. Combining them I dont know what would happen but I do know that Yahoo turned down the last offer so I am not getting my hopes up just yet. BTW - Their stock is shooting up.

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12 Comments

XRay Said,

February 1st, 2008 @5:50 pm

It’s gonna be too hard for Yahoo!’s board & stockholders to reject this offer. They’d be declared legally retarded if they did - the stock was at a 4 yr. low and MisterSoftee’s bid represents a 62% premium.

AndiC Said,

February 1st, 2008 @6:08 pm

Anti monopoly?

I wonder if the US government will step in to stop it or even the EU for parts of yahoo europe ?

Ruck Said,

February 1st, 2008 @6:12 pm

Good points.

Interesting Andi as I was sitting here pondering how it’s all going to work out with the foreign parts of their situation.

sparky Said,

February 1st, 2008 @6:22 pm

I’m not sure if this is good or bad, personally.

On one hand, it seems like less competition because instead of three companies, there’s two, and two is less than three.

On the other hand, it’s like two six year olds ganging up on an eighth grader; they’ll do better working together, 2 on 1 than 1 on 1 on 1.

Gonna have to agree with Xray; yahoo’s BOD will look like business school flunkouts if they reject the offer.

Derek--chillyd Said,

February 1st, 2008 @7:44 pm

So pissed about this one. I actually went to my brokers office to put in an options order yesterday. I had a feeling something was coming up. Needless to say my order didn’t get placed, because pre-market went crazy.

One day earlier would have netted me $60k.

Really annoying because I wanted to get over there on Monday.

Chris Said,

February 1st, 2008 @10:11 pm

I dumped that stock at the end of December but I picked it up again last night. It would be a real earth-mover if this thing happens.

I wonder what they would call it. MSNyhoo?

Abi Said,

February 1st, 2008 @10:36 pm

MSN has always wanted to eat up any competition that comes its way… i remember it took over some part of apple as well..

watever facts maybe, time for uncle bill let go of the big bros… ;)

Ruck Said,

February 1st, 2008 @11:39 pm

@ Chris - Ha good one how bout this one…MS…N…yhoo? lol

Gokarter Said,

February 2nd, 2008 @12:35 am

If this goes threw it prolly will make it a lot more efficient for us as marketers ,we’ll have one less place to go to set up campaigns and adds on .

Also if this was to happen i think it would give the big G-spot a run for there money.

XRay Said,

February 2nd, 2008 @9:14 am

@ Andi - that’s a good, valid point. Even though Google is the ‘Cloverfield’ monster, I wonder if Microsoft’s past sins will come back to bite the deal in the backside.

One other thing. If your biz/stock have peformed poorly, you rejected my previous offer and conditions have gotten worse, why would they offer such a premium on the opening lob? I would think they would have gone with a low ball bid at first, then raise the bid in increments. Maybe they were looking to put the deal out of reach to any other potential suitors. What do you all think?

XRay Said,

February 12th, 2008 @12:59 am

Yahoo! is rejecting Microsoft’s offer, but I doubt that it’s dead. Yahoo! is just trying to get a bigger premium before it says “OK” . That’s why I thought MSFT should’ve low-balled them on the 1st offer.

Here’s a link to a WSJ article about it:
http://online.wsj.com/article/SB120257515426256541.html?mod=hps_us_whats_news

Andrew Said,

February 12th, 2008 @5:55 pm

Yeah … Funny because Google were having talks with Yahoo. I can help but think Google had something to do with Yahoo’s decision.