The software giant previously signed an NDA last week to take a closer look at Yahoo’s finances. Microsoft is expected to provide billions of dollars in financing as part of the consortium to Yahoo. The deal would see Microsoft take a minority stake of up to 20% in Yahoo. Recent rumors from October suggested that the software giant was considering a partnership deal with Yahoo. The partnership deal was working into a full blown acquisition according to The Wall Street Journal, who reported in October that Microsoft was working with the Canada Pension Plan Investment Board and Silver Lake Partners, a private equity firm, to ready a bid to acquire Yahoo. Deal Book reports that Yahoo is still considering bids for the entire company.
Microsoft CEO Steve Ballmer recently revealed that Microsoft was “lucky” not to buy Yahoo back in 2008. “You know, times change, times change,” said Ballmer. “The market really kind of fell apart. Sometimes you’re lucky,” he added. Microsoft famously offered $44.6 billion cash-and-stock to purchase Yahoo in February, 2008. The deal was an intense one for both parties, valuing Yahoo’s stock price at $31, a significant premium on its true value at the time. Despite the offer, Yahoo declined and wanted more cash. Microsoft upped its offer to $33 a share but Yahoo believed the company was worth $37 per share.
Microsoft bidding with Silver Lake for minority stake in Yahoo
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