Microsoft Announces Bid to Buy LinkedIn for $26.2 Billion
Microsoft have announced today that they plan to acquire LinkedIn for a mere $26.2 Billion. The deal is to brokered with cash-only and will value LinkedIn shares at $196 a pop.
According to Microsoft, LinkedIn will retain its own brand, independence etc. On top of this, their CEO, Jeff Weiner will be remaining and reporting directly to Satya Nadella.
The business social media giant has grown fantastically since it started and ultimately attracted Microsoft’s roving eye. Microsoft plan to close the deal later in the year which has already been approved by the board at both Microsoft and LinkedIn to a unanimous vote.
This is the Head of Microsoft’s first large acquisition and CEO Satya Nadella sent out a company-wide memo in the last few hours explaining why it is a good thing:
“I consider if an asset will expand our opportunity — specifically, does it expand our total addressable market? Is this asset riding secular usage and technology trends? And does this asset align with our core business and overall sense of purpose?
The answer to all of those questions with LinkedIn is squarely yes. We are in pursuit of a common mission centred on empowering people and organizations. Along with the new growth in our Office 365 commercial and Dynamics businesses this deal is key to our bold ambition to reinvent productivity and business processes.”
Microsoft has not divulged what they plan to do with LinkedIn but it is clear it will be a large boost to their social media presence online.
Almost 4 years ago now, Microsoft bought Yammerback, but, as businesses have not jumped to it perhaps this will bring them more into where they want to be socially.