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Yahoo declines M$-seeks to restart merger with AOL

Yahoo has finally rejected Microsoft's unsolicited bid saying the bid highly undervalued the company.The news also says the company won't consider anything below $40 per share against previously quoted $31 as a valid bid.If that's true,this may give rise to some new tie-ups.As Yahoo can't overcome Microsoft's hostility all by itself,it has to take help of some one else.As you all know Google already has offered a helping hand to Yahoo.But Yahoo may not take this offering because that means it becomes dependent on its main competitor.So it has to search for some other hands.

And an article in The Times says that Yahoo is seeking to revive its old merger talks with AOL.If it merges with the Time Warner Inc. 's AOL , then it could save itself from the Big Brother.But how could it be possible?May be Yahoo should now come down to change its condition that Yahoo's 20% of content business should be swapped by 80% of AOL's.Then it means as the need is from Yahoo's side,they might soften up a bit.This would be an advantage to AOL.But, still this is the way for Yahoo's way out of this.Otherwise,Microsoft may take its hostile bid to share holders.If this plan is succeeded,the 10 board members will probably be ousted.So the easy option at present is AOL.

Let us wait and see what is in store for Yahoo

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