Why has Bill Gates predicted a Yahoo deal will get done?”
Microsoft ups Yahoo offer above $31 per share 2008-05-03 People Steve Ballmer Warren Buffett Bill Gates Event Microsoft – Yahoo Deal Company Google Yahoo Microsoft Berkshire Hathaway Microsoft Corp. finally dangled a higher takeover bid in front of Yahoo Inc. Friday, hoping to reach a friendly deal after weeks of saber rattling. The Redmond, Wash.-based software maker upped its offer beyond the original value of $44.6 billion, or $31 per share, according to a person familiar with the matter. The specifics of the new offer weren’t known by this person, who didn’t want to be identified because the negotiations are still confidential. The New York Times, citing unnamed sources, reported Microsoft boosted the offer by “by several dollars” per share, lending weight to the assertion by many market analysts that Microsoft can afford to pay up to $35 a share. Representatives from Microsoft and Yahoo declined to comment on the negotiations. The talks were expected to continue into the weekend.
Microsoft’s Bill Gates, in an NBC interview with Tom Brokaw, said a deal with Yahoo is unlikely, according to a CNBC report. Yahoo shares fell 2.81 percent to $20.77 in late morning trading on June 27, 2008, as the broader markets also slumped. During his interview, Gates said “I don’t think that one is likely,” in reference to a Microsoft-Yahoo deal. He added, however, that he believes Microsoft CEO Steve Ballmer will find “plenty of other opportunities.” Gates’ prediction comes as he prepares Friday to wrap up his last day of full-time work at Microsoft. Come Monday, he will serve as non-executive chairman and work part time at the software company he co-founded. Shares of Microsoft were essentially flat, trading up 0.43 percent at $27.87 a share in morning trading.
