Microsoft Bids To Buy Yahoo
February 1, 2008 at 5:48 AM (PT)
MICROSOFT has offered $44.6 billion to buy YAHOO INC. in a cash-and-stock deal that values YAHOO at $31 per share, a 62% premium over YAHOO's closing price on THURSDAY.
YAHOO is a major online music/streaming player.
In a letter to YAHOO's board, MICROSOFT CEO STEVE BALLMER said, "While a commercial partnership may have made sense at one time, MICROSOFT believes that the only alternative now is the combination of MICROSOFT and YAHOO! that we are proposing."
The companies have previously discussed working together, but YAHOO at the time rejected a buyout proposal. A deal, if YAHOO shareholders approve it, could close sometime in the second half of 2008.