So it looks like Yahoo is going to reject Microsoft's offer...
Category Microsoft
From an InformationWeek blog: Yahoo To Reject Microsoft Offer, But Deal's Hardly Dead
The Wall Street Journal on Saturday reported that Yahoo's board will formally reject Microsoft's $44.6 billion bid to buy the company. The report says the board feels the offer "massively undervalues" Yahoo. So where does that leave the prospect of a Microhoo?
Paul McDougall goes on to conjecture that Microsoft might well be prepared to up their offer, or that someone on Yahoo's board might force them to accept Microsoft's bid at some point. Either way, it'll be interesting to see how it plays out.
Does Microsoft look at this as an opportunity to back away from the deal after it was so widely panned by many? It seems like that'd be the smart thing to do, but who said common sense rules? The market has punished their stock price of late, and the risks of taking on debt for such a large takeover of clashing cultures seem high. But if they back away, the market/industry spin will be that Google won, Yahoo is #2, and Microsoft lost (with few to no options to catch up with Google). You just know *that's* gonna play well with Ballmer come Monday morning...
It's rather tough when you're the 800 pound gorilla, you're losing your lunch to the agile chimp, and you can't make anyone play with you any more...
From an InformationWeek blog: Yahoo To Reject Microsoft Offer, But Deal's Hardly Dead
The Wall Street Journal on Saturday reported that Yahoo's board will formally reject Microsoft's $44.6 billion bid to buy the company. The report says the board feels the offer "massively undervalues" Yahoo. So where does that leave the prospect of a Microhoo?
Paul McDougall goes on to conjecture that Microsoft might well be prepared to up their offer, or that someone on Yahoo's board might force them to accept Microsoft's bid at some point. Either way, it'll be interesting to see how it plays out.
Does Microsoft look at this as an opportunity to back away from the deal after it was so widely panned by many? It seems like that'd be the smart thing to do, but who said common sense rules? The market has punished their stock price of late, and the risks of taking on debt for such a large takeover of clashing cultures seem high. But if they back away, the market/industry spin will be that Google won, Yahoo is #2, and Microsoft lost (with few to no options to catch up with Google). You just know *that's* gonna play well with Ballmer come Monday morning...
It's rather tough when you're the 800 pound gorilla, you're losing your lunch to the agile chimp, and you can't make anyone play with you any more...
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