merger

Yahoo nixes June 10 shareholders meeting

Updated version, with rewrites throughout, of a story originally posted at 9:39 AM PDT.

Yahoo said Monday afternoon that it has not set a date for its shareholders meeting after all, contrary to the timetable that had been described in a document filed with the Securities and Exchange Commission two months ago.

In a letter dated Feb. 1, the same day that Microsoft announced its unsolicited bid for Yahoo, the Internet pioneer sent a letter to the SEC. The letter, from Yahoo's associate general counsel Christina Lai, asked the agency to clarify whether Yahoo had to include in … Read more

Does Microsoft really 'undervalue' Yahoo?

In a new round of public letters, Microsoft CEO Steve Ballmer and Yahoo CEO Jerry Yang tussled about whether the software power is offering too much or too little for the Internet company. So who's right?

There's no simple answer here. It's tricky math, especially given overall declines in Internet stocks and the fact that Yahoo's worth is different depending on whether you consider it a standalone company or a part of Microsoft, which said it expects "at least $1 billion in annual synergy" from an acquisition.

But we surveyed a number of analysts--call … Read more

Report: Yahoo directors hash over Microsoft's merger deadline

Yahoo's board of directors on Sunday reportedly hashed over Microsoft's three-week deadline to close its mega-merger bid, according to a report in the Financial Times

The report did not note whether the directors would authorize the Internet pioneer to engage in formal negotiations with Microsoft. (On Sunday evening, The Wall Street Journal reported that Yahoo on Monday would issue a rebuttal to the new deadline.)

Microsoft launched an unsolicited bid for Yahoo on Feb. 1, in a deal initially valued at $31 a share. But Yahoo rejected the offer as undervaluing the company.

And while Yahoo's investors … Read more

Microsoft gives Yahoo three weeks to do a deal

Updated at 6 p.m. PDT with comments from an institutional investor.

Microsoft on Saturday issued an ultimatum to Yahoo, giving the Internet search pioneer three weeks to enter formal merger negotiations and conclude a deal.

The software giant threatened to launch a proxy fight to unseat Yahoo's board of directors, as well as take its case straight to Yahoo investors should no deal be reached in that period.

And as a further cattle prod in getting a deal consummated, Microsoft threatened to lower its existing bid, citing how Yahoo's value will be hurt if it needs to … Read more

Ballmer's letter to Yahoo board: 'Now is the time'

Editor's note: Here's the full, unedited text of a letter Microsoft CEO Steve Ballmer wrote Saturday to Yahoo's board of directors, giving it three weeks to make a decision about the software giant's $44.6 billion bid for the Net pioneer.

April 5, 2008 Board of Directors Yahoo! Inc. 701 First Avenue Sunnyvale, CA 94089

Dear Members of the Board:

It has now been more than two months since we made our proposal to acquire Yahoo! at a 62 percent premium to its closing price on January 31, 2008, the day prior to our announcement. Our … Read more

Microsoft to recalculate Yahoo bid?

Yahoo shares fell roughly 5 percent in after-hours trading, as rumors swirled Microsoft was considering lowering its buyout bid for the Internet search pioneer.

Shares of Yahoo dropped to $27.01, or 4.76 percent, in after-hours trading, after Reuters, citing a source, reported Microsoft was considering re-evaluating its bid. The report noted that the possible re-evaluation stemmed from a concern that Yahoo's value may have declined since the initial offer was made February 1.

For Microsoft, the threat of lowering its bid may be as effective a weapon as waging a proxy fight or an exchange offer. In … Read more

Report: Tech deals tumble slightly in quarter

When it comes to technology-related mergers and acquisitions in the first quarter, think "still waters run deep."

According to a first quarter M&A spending report released Friday by The 451 Group, proposed technology deals totaled $92 billion in the three-month period for 778 deals, down a notch from $100 billion in the same period a year ago for 1,059 transactions.

But keep in mind, and rightly so, Microsoft's initial blockbuster $44.6 billion buyout bid for Yahoo, accounts for nearly half of the technology M&A deals proposed in the quarter.

"Although … Read more

Report: Microsoft and Yahoo executives meet again

Microsoft and Yahoo executives took another run at trying to ignite formal merger talks this week, but failed to kick it into gear, according to a report in The Wall Street Journal.

Apparently, Microsoft says no dice to raising its buyout bid and Yahoo remains hesitant to open its books without a bump up in price, according to sources cited in the Journal.

Although it's unclear which executives are doing the merger dance, the meeting was held near Yahoo's headquarters, the report states.

The parties last talked four weeks ago, marking the end of what had been six … Read more

Microsoft-Yahoo following the DOJ sundial?

Microsoft's quest for Yahoo may come under increasing pressure this month, as time ticks away to get a deal done and past antitrust regulators, before President George W. Bush exits stage left, said proxy solicitors and investment bankers.

That's because it typically takes anywhere from six to eight months to move a merger deal through the Hart-Scott-Rodino process and beyond, said one former, high-level antitrust attorney with the Department of Justice, who is now in private practice.

A spokeswoman for the DOJ noted that while the agency has previously stated it would be interested in looking at a … Read more