Microsoft to buy LinkedIn for $26.2 billion Cash
Microsoft to buy LinkedIn for $26.2 billion; LNKD shares
jump 47%
Kate Rooney |
@Kr00ney
4 Hours Ago
Microsoft announced a $26.2 billion deal on Monday to
acquire professional social platform LinkedIn for $196 per share.
Shares of LinkedIn surged 47 percent after the
announcement to near $193, while Microsoft's stock was down 3.2 percent.
Trading in Microsoft had been halted briefly for news pending before the
announcement of the all-cash deal.
Jeff Weiner will stay on as CEO of LinkedIn and will
report to Microsoft CEO Satya Nadella. The deal was unanimously approved by
both companies' boards, and is expected to close by the end of the year. The
acquisition is still subject to approval by LinkedIn shareholders and
regulators.
"The LinkedIn team has grown a fantastic business
centered on connecting the world's professionals," Nadella said in a
statement. "Together we can accelerate the growth of LinkedIn, as well as
Microsoft Office 365 and Dynamics as we seek to empower every person and
organization on the planet."
In a statement to LinkedIn employees, Weiner said
"little is expected to change" and employees will have the same
titles and managers.
"The one exception: For those members of the team
whose jobs are entirely focused on maintaining LinkedIn's status as a publicly
traded company, we'll be helping you find your next play," Weiner said.
"In terms of everything else, it should be business as usual. We have the
same mission and vision; we have the same culture and values; and I'm still the
CEO of LinkedIn."
Follow
LinkedIn ✔
@LinkedIn
Our CEO @jeffweiner’s reflections on today’s announcement
that LinkedIn will be joining forces with Microsoft.
https://www.linkedin.com/pulse/linkedin-microsoft-changing-way-world-works-jeff-weiner
…
5:54 AM - 13 Jun 2016
Photo published for LinkedIn + Microsoft: Changing the
Way the World Works
LinkedIn + Microsoft: Changing the Way the World Works
This is the email I sent to LinkedIn’s global workforce
today. I thought it might be interesting to others, too, so I've decided to
publish it publicly. ===== December 15th, 2008, marked the first day
linkedin.com
1,358 1,358
Retweets 654 654 likes
"This is a great deal," said Ivan Feinseth, CIO
at investment firm Tigress Financial Partners, told CNBC's "Squawk
Box." He said his company publishes research on Microsoft.
"LinkedIn is the ultimate business social platform.
You have everybody on this, from interns and college students on up to the
biggest CEOs," Feinseth said. "This is a good way for Microsoft to
expand in social platforms."
Some analysts had speculated that Microsoft might buy
Salesforce.com as a cloud play. Feinseth said an eventual Salesforce.com deal
could still happen." Microsoft has the resources ... the cash ... the
balance sheet ... and the borrowing ability to acquire a lot more."
Shares of LinkedIn had peaked in the past year at
$258.39. The stock is down more than 14 percent year to date, and 10 percent in
the past year. LinkedIn, which has more than 400 million members, acquired
online education company Lynda.com last April. It rolled out a new version of
its Recruiter product this year, which the company said increased membership,
engagement and financial results.
Shares of Microsoft traded near $50 on Monday, down from
their 52-week high of $56.85. The company's stock has gained more than 8
percent year over year.
Comments
Post a Comment