Yahoo! Finds Microsoft’s Bid Considerably Below Its Value.

[gen_next]

Yahoo! Finds Microsoft’s Bid Considerably Below Its Value.Yahoo! Decides Not to Accept Microsoft’s Takeover Proposal.

Yahoo! on Monday released a statement claiming that it will not accept acquisition proposal of Microsoft Corp. because the world’s largest maker of software offered a bid substantially below the real value of the Internet company.

“After careful evaluation, the board [of directors] believes that Microsoft’s proposal substantially undervalues Yahoo! including our global brand, large worldwide audience, significant recent investments in advertising platforms and future growth prospects, free cash flow and earnings potential, as well as our substantial unconsolidated investments,” the statement by Yahoo! reads.

Microsoft proposed to acquire Yahoo! following disappointing quarter results of the latter for about $44 billion back in late January. The two companies would form a formidable giant that would operate in many industries and provide an ultimate amount of services to millions of users worldwide. However, as with every acquisition or merge, the combined company would become somewhat less competitive on certain markets.

“The board of directors is continually evaluating all of its strategic options in the context of the rapidly evolving industry environment and we remain committed to pursuing initiatives that maximize value for all stockholders,” the statement by Yahoo! claims.

Microsoft Corp. said it that it was disappointed by the decision of Yahoo! and it would continue trying to take over the company.

“It is unfortunate that Yahoo! has not embraced our full and fair proposal to combine our companies. Based on conversations with stakeholders of both companies, we are confident that moving forward promptly to consummate a transaction is in the best interests of all parties. The Yahoo! response does not change our belief in the strategic and financial merits of our proposal. As we have said previously, Microsoft reserves the right to pursue all necessary steps to ensure that Yahoo!’s shareholders are provided with the opportunity to realize the value inherent in our proposal,” the statement reads.

[T-Shirt]

More like
The Yahoo board of directors substantially OVERvalues Yahoo, and some believes they will miraculously will turn around their multi-year slide toward oblivion.
or
The Yahoo board of directors knows that if MS takes over, they are gone.

[KnightRid]

More like
The Yahoo board of directors substantially OVERvalues Yahoo, and some believes they will miraculously will turn around their multi-year slide toward oblivion.
or
The Yahoo board of directors knows that if MS takes over, they are gone.

100% agree!

I have relatives that use Yahoo mail and alls it does is screw up messages. Who wants the Yahoo portal crap anymore? One of the best things Yahoo has is its photo storing, but you can even find that free elsewhere.

Yahoo needs to bow down to another company and beg for them to help, or else just declare bankruptcy now.

Mike

Can you tell I do not like Yahoo I was being mild as to not offend anyone

[ZhengHe]

I heard Yahoo was trying to make a deal with AOL in order to bump up it's market value. Either way it's going to be bought up by someone. That is only a matter of time. After all, this is business. Those that can't compete get swept aside for those who can. I just hope that a third player comes out soon though, since any industry where there are only two major competitors is a bad thing.

[DMB2000uk]

I was reading about this on slashdot the other day, and a few interesting points/theories came up (from what I can remember, so will be badly rehashed):

MS was going to give them equivilent stock value, so MS stock for Yahoo stock, the influx of 20% more MS stock on the market would surely devalue MS stock and put the now devalued asking price at a reasonable level.

Yahoo is good for open source projects, its real portal is here: http://developer.yahoo.com/
What would happen to that if MS took over >_<

Yahoo know that their employees don't want to work for MS, so gave them an unreasonable asking price.Plus what would MS do with yahoo? Yahoo becomes an extension of hotmail? Yuck.


And some other stuff that I can't remember.

Dan

[vicaphit]

I could care less if Yahoo falls through. There isn't a single thing Yahoo can offer me that I can't find better with google, or any other website.

[stev]

I heard Yahoo was trying to make a deal with AOL in order to bump up it's market value. Either way it's going to be bought up by someone. That is only a matter of time. After all, this is business. Those that can't compete get swept aside for those who can. I just hope that a third player comes out soon though, since any industry where there are only two major competitors is a bad thing.

I too think that a Yahoo! & AOL merger would be good. The very funny thing is, the Yahoo! home page and my AOL home page look almost closely the same.

ASK.com is another nice place for getting answers, forum & blog info. The new ASK.com has an interface that is very clan like Google, but more refreshing. PLUS, ASK has a privacy eraser. I also prefer news.ask.com over google news. The ask layout is far better to navigate.

"Do you want to turn on AskEraser?
AskEraser is a new privacy feature from Ask.com. When AskEraser is enabled your search activity will be deleted from Ask.com servers except in rare circumstances described in the AskEraser FAQ."

[Methious]

Never had much use for Yahoo, I get a lot of machines that run ATT Yahoo that have problems from Yahoo trying to be the "be all do all" for their internet. Between the clogging antivirus and spyware protection, the tool bar, instant messenger, web cam and other crud some thing invariably gets jacked. Especially on machines a couple of years old.

Their search engine and shopping I stay away from because others offer the same thing with a cleaner easier interface. Yahoo and Hotmail two of the web based email services absolutely no use for those, I really don't want to be advertised at while I delete my spam Then just seeing that address extension on an email I ignore it because if it's a scammer/spammer their setting behind a big non-responsive service that would rather let you get ripped off than police itself.

As far as the undervalued offer, they just need to use some common sense, send Chuck Norris to tell them what they'll take and make them like it.

[ibleet]

As far as the undervalued offer, they just need to use some common sense, send Chuck Norris to tell them what they'll take and make them like it.

Hmmm...Chucks getting a little old for that nonsense.

[Alathald]

Hmmm...Chucks getting a little old for that nonsense.

Nonsense! When I'm a crazy old man I plan on making multiple Chuck Norris references with the wee li'l ones..."GEROFF MY LAWN OR I'LL SEND CHUCK NORRIS AF'ER YA!!! oh, my back..."
Chuck will live beyond the grave (and still kick some ass too)

[Methious]

Beyond the grave I heard he was supposed to take over for the Grim Reaper

[ibleet]

I've heard so many Chuck Norris jokes that I could puke.

Play wow for a few months and you will learn to hate those jokes too as well as the 10 year olds who keep them alive...

[vicaphit]

I heard chuck norris is so badass that even his jokes never die. Though I wish they would, he really isn't that cool.