Microsoft Offers To Buy Yahoo For $44.6 Billion

Image from ABC News

Microsoft made a bid to buy Yahoo for $44.6 billion, seeking to join forces against Google in what would be the biggest Internet deal since the Time Warner- AOL merger.

In its boldest-ever acquisition move, Microsoft sent a letter to Yahoo's board on Thursday night to offer $31 per share in cash and stock, a 62 percent premium over the Internet media company's Nasdaq closing stock price that day.

Yahoo would give Microsoft dominance in Web banner ads used by corporate brand advertisers. It also attracts more than 500 million people monthly to sites devoted to news, finance and sports, and Yahoo Mail is the No. 1 consumer e-mail service.

Yahoo said on Friday its board will evaluate the unsolicited offer. Its shares shot up 47.45 percent to $27.29, while Microsoft shares, which have a market capitalization of about $300 billion, fell 6.38 percent to $30.52.

Hmm ... (US $44.6 billion) is about (4.69 x UAE Federal Budget in 2008)!

Read Also:
Microsoft bids $44.6 billion to buy Yahoo (Reuters)
Microhoo? Purchase of Yahoo by Microsoft Could Challenge Google's Dominance (ABC News)
Cabinet holds meeting, approves 2008 budget (UAE Interact)