Microsoft will not raise Yahoo! offer: Report

April 1st, 2008 - 11:24 pm ICT by admin  

DPA
New York, April 1 (DPA) Software-giant Microsoft has no intention of increasing its multi-billion takeover bid for internet company Yahoo!, the Wall Street Journal reported Tuesday. Quoting sources close to the company, the paper said Microsoft was not envisaging an increase of its original $45-billion offer, which was rejected by Yahoo!’s management.

US media had been speculating recently that a slightly increased offer and an agreement were in the pipeline.

Tuesday’s report, however, said that both sides only met once and Microsoft wanted improved access to Yahoo!’s accounts before considering an increase its offer.

Time was working in its favour, Microsoft believed, as, contrary to initial expectations no other bidders for Yahoo! emerged.

Microsoft aims to break the global dominance of its rival Google in online searches and Internet ads by taking over Yahoo!.

Several shareholders initiated lawsuits against Yahoo!’s management, saying they believed the rejection of the takeover bid was wrong.

As the offer included both shares and cash, the bid price was lowered to about $42 billion, following the fall of Microsoft shares in the past weeks.
DPA

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