The higher bid came as Yahoo’s board was holding a two-day meeting. Exact terms being discussed could not be learned, but according to the people involved in the talks, Microsoft suggested it was willing to pay more than $33 a share. Yahoo is still holding out for at least $37 a share, these people said. These people were not authorized to speak publicly because the negotiations were confidential.
Spokesmen for Microsoft and Yahoo declined to comment.
The renewed discussions would explain the silence from Microsoft this week after the passing of an April 26 deadline it had imposed on Yahoo to reach a negotiated merger. Microsoft had threatened to wage a proxy contest if Yahoo did not meet the deadline. A week has passed without any announcement from Microsoft about how it intends to proceed.
Shares of Yahoo rallied Friday on news of the renewed talks, rising to $28.67, up $1.86, or nearly 7 percent. Microsoft shares dropped to $29.24, or half a percent.
The main stumbling block has been a sharp disagreement over the value of Yahoo. Microsoft’s initial stock-and-cash offer, made Jan. 31, was valued at $44.6 billion, or $31 a share. After the decline in Microsoft’s share price, the offer was worth $29.40 a share on Friday.
Yahoo repeatedly rejected Microsoft’s bid, saying it substantially undervalued the company. But Jerry Yang, the co-founder and chief executive, said he would not be opposed to a deal with Microsoft at a higher price.
Per capire meglio certe cose conviene dare un’occhiata a The Silicon Valley triangle: Google, Yahoo and Microsoft