BeyondGenius.com

Microsoft Corp., the software maker that said it had moved on after acquisition talks with Yahoo! Inc. failed, revived the possibility that the companies may strike a deal to challenge Google Inc.
Microsoft said yesterday that it is exploring an agreement with Yahoo that stops short of a full acquisition. Redmond, Washington-based Microsoft didn’t elaborate on [...]

BeyondGenius.com knew that the Microsoft-Yahoo deal would go through, but we didn’t see the introduction of Carl Icahn, the enigmatic billionaire activist investor, who is considering whether to mount a proxy fight to take control of board seats at Yahoo.
Late last week, Icahn built a significant position in Yahoo that may be as much as [...]

Never mind that it was a bad idea.
Never mind that the combination of Microsoft and Yahoo will be less of a company than the two companies separately.
The fact is that Microsoft bid for Yahoo and even raised its offer in the 11th hour with Microsoft ultimately offering $33 per share, but Yahoo wouldn’t bite.
Chairman Jerry [...]

$41 billion.
I mean, let’s take a moment and think about this. $41 Billion.
Yahoo sells about $7B, has gross profit of about $4B, and net income of about $0.7B.
Let’s be generous and say they net about $1B today.
This means that Microsoft will be getting a 2.5% return on this investment if things remain the same.
Of course [...]