Microsoft rescinds offer for Yahoo!May 4th, 2008 - 8:21 am ICT by admin
New York, May 4 (DPA) Software giant Microsoft said Saturday it had pulled its offer for Yahoo after a higher offer failed to move the internet company . Microsoft had raised its bid for Yahoo to $33 per share as negotiations between the firms intensified over the weekend, but the increase had failed to win over those who hoped for an even higher bid.
Yahoo had consistently rejected and earlier $31-a-share offer, with many shareholders indicating they will sell only for $35 a share.
A deadline set by Microsoft for Yahoo to accept its $41.9-dollar passed April 26 with no further comment from Yahoo, which had originally dismissed the bid as undervaluing the company, even though it represented a premium of 62 percent on the company’s pre-offer share price.
Microsoft had hoped to buy the web portal to stiffen its competition with Google for internet advertising and software.