Firm says it may break with tradition and take loan to fund Yahoo bid

Microsoft may borrow cash for Yahoo deal

For the first ever, Microsoft has said it is considering borrowing money in order to fund part of its gargantuan $44.6 billion bid for search engine site Yahoo, reported Reuters.

According to Microsoft’s chief financial officer Chris Liddell the firm may issue some debt to help fund the cash half of the combined cash and stock offer for Yahoo, as opposed to relying on its $21 billion war chest.

“It’s likely we’re actually going to borrow for the first time," said Liddell in an annual strategy meeting. “It’s going to be a mixture of the cash we have on hand plus debt.”

Meanwhile the always bullish Microsoft chief executive Steve Ballmer announced that the offer for Yahoo was generous and he expects the firm to jump on board quickly.

“We trust the Yahoo board and the Yahoo shareholders will join with us quickly in deciding to move down an integrated path.”

However current internet search and advertising leader Google has been busy trying to scupper Microsoft’s plans, offering yahoo an alliance of its own.

Check Also

Gekko launches neuroscience insights partnership with CloudArmy

Gekko has partnered with behavioural insight experts CloudArmy to offer a neuroscience research service for …