Yahoo hasrejected Microsoft's offer yet again,
saying that the current bid undervalues its company but that it
remains open to a deal with the software giant.
In a
letter to Yahoo's board, Microsoft's chief executive, Steve
Ballmer, threatened to take
its offer direct to shareholders in three weeks - possibly at a
lower rate - if Yahoo's board fails to respond.
But Yahoo's CEO Jerry Yang responded with a letter yesterday
saying that the company would block any takeover attempt unless
Microsoft raised its offer.
"We consider your threat to commence an unsolicited offer and
proxy contest to displace our independent board members to be
counterproductive and inconsistent with your stated objective of a
friendly transaction," the letter said.
"We are confident that our stockholders understand that our
independent board is best positioned to objectively and
knowledgeably evaluate our company's alternatives and to maximise
value."
