Yahoo! Inc. (YHOO) plans to reject Microsoft Corp.'s (MSFT) unsolicited $44.6 billion offer for it. The Wall Street Journal reports that Yahoo's board determined that the $31 per share offer "massively undervalues" Yahoo, according to a person familiar with the situation. It also doesn't account for the risks Yahoo would be taking by entering into an agreement that might be overturned by regulators, the Journal said.
What happens to Yahoo's share price in the coming days could help determine Microsoft's response. The stock traded at 4 p.m. Friday at $29.20, up 16 cents from previous day, on Nasdaq. If the stock stays at that level or goes up, that could be a signal that investors believe Yahoo is worth more than Microsoft's current bid. If the shares decline following news of the offer's rejection, that could lessen the pressure on Microsoft to increase its offer.
Yahoo playing games here...reports were that YHOO thinks their company is worth $41 a share....Maybe in your dreams, Yahoo..
Subscribe to:
Post Comments (Atom)
No comments:
Post a Comment