Did Yahoo mess up BIG TIME by not accepting $33 a share?

Question

I know a lot of this Microsoft-Yahoo merger rejection had to do with CEO Yang's pride, but how can Yahoo's board of directors so blatantly disregard the shareholders (and their own employees) and reject this bid.

Yahoo is now trading at the high $24's instead of $33.

Answer 1

$37 would have been $3 above the 52 week high! $24 is below the 52 week midpoint

Answer 2

absolutely.  not only because they are trading at $24 now... stock price always slips after a buy-out or merger deal isn't capitalized on... and I have no doubt it will rebound.  But the rebound wont be above $33 for a very long time, if ever!

Answer 3

I believe it was a mistake but if Yahoo! continues to make improvements and can show it can still compete with Google, Yahoo!'s future still looks good. that's my opinion anyways.

Answer 4

Yes of course they messed up! I read that the offer was as high as $37 a share.  Big mistake.

Answer 5

Yes, that was very foolish.  Microsoft's offer would have been tremendous overpayment.