Microsoft leaning toward hostile bid for YahooBy Jose Vilches
Microsoft had given Yahoo until last Saturday to come to the negotiating table and reach a friendly deal. But now that the deadline has come and gone, Microsoft may be leaning towards a hostile takeover with an announcement "likely" to come today, according to a Wall Street Journal report.
Citing unnamed sources familiar with the matter, the newspaper said price will be a key factor if Microsoft does take a hostile approach. Major Yahoo shareholders have signaled they want a price in the range of $35 to $37 a share, hence the dilemma, Ballmer doesn't want to overpay. The CEO said he has a figure in mind as to what Yahoo is worth and he doesn't plan to pay "a dime above" that amount.
The question remains just what price Microsoft is willing to pay - some say they are willing to raise the bid to as much as $33 a share - and what means the company will have to get that offer to be considered. That said, Ballmer also reiterated that the company could forge ahead without a merger, saying that Yahoo was just one of many moving parts in their strategy to compete with Google in search and online advertising.