Yahoo has stated that they have formerly rejected the $44.6 billion takeover bid from Microsoft in favor of seeking more money from the software giant.
Yahoo’s board spent an entire week going over the proposed takeover from Microsoft which would pay $31 per share.
They have decided though that the number is too low and have rejected the bid.
Microsoft is being pushed by Yahoo to make a bid which would be worth around $35 to $40 per share.
This puts a lot of pressure on Yahoo co-founder Jerry Yang to try and revive the Yahoo stock which has seen its value drop drastically over the past two years.
It may not be that Yahoo doesn’t want to accept the takeover bid, it is more that they want to hold out for more money from Microsoft before they accept the offer.
Yang stated that he believes that Microsoft greatly undervalued Yahoo.