Friday, February 1, 2008

Microsoft wants to buy Yahoo! For $ 44.6 billion

The proposed US $ 31 per share represents a premium of 62% on the current price.
Microsoft already has plans for integrating the officials of the two companies.

Microsoft has made a proposal to purchase the Yahoo! This Friday (1) valued at $ 44.6 billion. The objective of the company is to increase its competitiveness in the market for online services, and, especially, from search engines.

The proposed US $ 31 per share represents a premium of 62% on the close of yesterday''''s action of Yahoo! On the New York Stock Exchange, to $ 19.18. With the news, from around 10am (Brasilia), the shares of Yahoo! Disparavam 54% in the pre-market on Wall Street, listed at $ 29.70, while Microsoft recuava 2%, to $ 31.95.

On release, the giant of the software industry, said the agreement would create a company more efficient, with a synergy total of $ 1 billion a year, with the generation of more value to advertisers and operating efficiencies.

Microsoft also revealed that already have developed a plan to integrate the officials of the two companies.

The expectation of Microsoft is to obtain regulatory approval for the agreement, with its completion planned for the second half of 2008.

"We have a great respect for Yahoo, and together we can offer a range of solutions increasingly attractive to consumers, publishers and advertisers, while posicionamos best in the competition in the market for online services," said Steve Ballmer, CEO of Microsoft .

Revitalising the company
The announcement was made before the opening of markets in the United States, one day after the ex-chief executive of Yahoo! Terry Semel left the board of the company.

The departure of Semel happens after that Yahoo! Announced a project to reduce staff by 1,000 employees as part of an effort to revitalize the company.

The co-founder of Yahoo! Jerry Yang Semel replaced as chief executive to enhance the profits of the Californian firm and the price of the shares.

Yahoo! Suffered a drop in its profits in the fourth quarter of 2007 and throughout the year, and warned that 2008 would also be difficult, as enfernta uam reorganization to increase its main source of incomes, sales of advertising.

The company recorded a net profit in the fourth quarter of $ 205.7 million, a decline of 23.5%, and for the whole year low in a profit of 12.1%, to $ 660 million.

Currently, its competitor, Google, embolsa more than 32% of their income from advertising on the Internet worldwide, compared with less than 20% for Yahoo, after just two years the two groups registering positions very close.

Yahoo! Was founded in 1994 by students Jerry Yang and David Filo at Stanford University. The company is headquartered in Sunnyvale, California (USA).

Http://,, MUL283125-9356 ,00-MICROSOFT + + BUY OR YAHOO + O + + + PO + US BILHOES.html

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