Tired of Yahoo's (Nasdaq:YHOO) stalling tactics, Microsoft (Nasdaq:MSFT) has given Yahoo three weeks to respond to their $44.6 billion offer for the company.
If they don't respond, Microsoft CEO Steve Ballmer said he'll bypass Yahoo's directors and take their case straight to Yahoo shareholders.
Yahoo has been scrambling to find alternatives to the Microsoft offer, but in spite of a number of negotiations, the only offer on the table is still the one Microsoft put forth.
Ballmer said concerning the situation: "This is despite the fact that our proposal is the only alternative put forward that offers your shareholders full and fair value for their shares."
Remarkably, even though the offer by Microsoft was 62 percent above the market value of Yahoo at the time, the board asserted the offer was far below the value of Yahoo.
Now that time has went by, the offer is looking even stronger as things stretch on and the economy continues to weaken.
Ballmer said if the company won't respond by April 26, he'll work to get a new board of directors elected. He added if he's forced to go that route, Microsoft would consider lowering the offer based on the time involved in getting it done.
Most in the industry have been surprised at how long Yahoo has stretched this out, seeing that it's just about inevitable that Microsoft will own the company.
Comment Preview