Microsoft has reignited talks with Yahoo! about an alternative deal to its £24.36bn offer to buy the company. The original offer was rejected by the internet company earlier this month.
Microsoft says that it is continuing to “explore and pursue” opportunities to expand its online service and advertising business, and has restarted talks with Yahoo! to consider different options.
In a statement released yesterday (May 18), the company says: “Microsoft is considering and has raised with Yahoo! an alternative that would involve a transaction with Yahoo! but not an acquisition of all of Yahoo!.”
It adds that it is not planning to make a new bid for the company “at this time” but says it “reserves the right to reconsider” that option depending on future developments and discussions that it has with Yahoo!. It adds: “There of course can be no assurance that any transaction will result from these discussions.”
The latest development in the ongoing saga between the two companies comes after Yahoo! snubbed plans by billionaire investor Carl Icahn to oust its board over the failed merger.
Yahoo! says the company and its board is continuing to consider a number of “value maximizing strategic alternatives” and adds that it remains open to pursuing deals that are in the best interest of its shareholders.
It adds: “Yahoo!’s board of directors will evaluate each of our alternatives, including any Microsoft proposal, consistent with its fiduciary duties, with a focus on maximizing stockholder values.”