Despite its very public financial problems, Yahoo has made the bold decision to reject Microsoft’s initial bid to takeover the struggling company for 44.6 billion, or $31 per share, according to The New York Times. Sources say Yahoo’s official response will be delivered on Monday, February 11th, ten days after Microsoft made its offer.
Yahoo’s board of directors met on Friday, February 8th to discuss the bid but a clear strategy for moving forward has yet to emerge. However, Yahoo executives feel the company is worth more than 44.6 billion, and remaining independent is still a potentially viable strategy. Likewise, working with Google is still a possibility. Yahoo executives are also considering the antitrust challenges it would likely face in either scenario. According to NPR, a merger with Microsoft would give the new entity an estimated 30% of the market share in search.