Yahoo shareholders furious after Microsoft rejection
Share price expected to plummet
SEARCH outfit Yahoo is facing a shareholder revolt after rejecting a $44.6 billion takeover bid from Microsoft over the weekend.
Shareholders are already miffed at the way that the board had been running Yahoo after losing 40 per cent of the value of the company over the last year.
Microsoft has two options now. It can up its bid, and risk annoying its own shareholders, or spark a shareholder revolt. This will involve spear-heading an attack to oust Yahoo's board.
Yahoo claimed that the rejection was due to Microsoft not offering enough for the company, but many investors feel that it is more likely to be personal. The board has been rushing around trying to find someone who could at least match Microsoft's bid of $31 per share without any success.
Other calmer voices say that it is more likely that Vole will tell Yahoo that the $31 million is Steve Ballmer's final offer and they should take it or face the wrath of their shareholder's.
Technology investment banker Ken Marlin told Associated Press that Yahoo has had little choice but to turn a cold shoulder toward Microsoft in the hope of getting more money from the Vole. He said that if they didn't, they would be accused of malfeasance.
Yahoo is expected to make an official statement today on the deal. µ
Comments
Lower the bid
Lower the bid by lets say 1$ share. If i were MacroVole i would just because i could.Enforced Sabbaticals?
And what's to stop the Board from taking the Money and Running YaBoo2u. QuITe obviously there will be a dearth of merged personalities all doing the same thing, sniffing round each other for strengths and weaknesses and who would be bothered with that incestuous affair.A Pocket full of Cash to Splash on what you've always Promised yourself but were frightened to Deliver because Big Brother was listening waiting for his pound of lazy flesh
Not one for the Vole
I'm usually not a fan of the vole's strongarmed tactics, but the Yahoo board is just acting like idiots at this point. A 60% markup from market is more than a fair price. It doesn't matter that the price was more 18 months ago. That was then, this is now. Yahoo, by the hour, is getting clobbered by Google, thus becoming less and less valuable.Yang and his board must come to grips with reality or find themselves ousted. The game is over. Yahoo! lost.
hostile takeover
MS should just do a hostile takeover. Honestly, MS could spend a lot less money that it's bid size by just buying shares on the open market until they have a dominant position. I know a lot of staff would jump ship at Yahoo if that were to occur but it seems to me like Yahoo has a lot of unproductive staff right now anyway so a lot high attrition rate would save having to do a lot of layoffs later.Too Young
Most of you commenters never took Business Negotiations 101 did you?