For many, questions have lingered about Google's failed attempt to acquire Yelp last December. Citing sources,
TechCrunch's Michael Arrington is now reporting that a Yahoo counteroffer is to
blame for the failed merger. "As of December 17 Yelp was in the final stages of negotiations to sell to Google for $550 million," writes Arrington. Then, "Yahoo came in with an offer to buy Yelp for
$750 million." Why didn't Yelp jump at the offer? Apparently, Yelp's management team just didn't want to work for Yahoo. "So with the Yelp management team refusing to take the Yahoo offer, and the
Yelp board of directors unable to accept the Google offer [because of its fiduciary duty to act in the best interests of stockholders], everything froze and a deal never happened."
Meanwhile, the timing of Arrington's exclusive is conspicuous, as he just agreed to sell his TechCrunch blog network to AOL, while Yahoo is rumored to be looking at AOL as a potential acquisition
target. Arrington doesn't mince words about his outlook for Yahoo, or any company that gets mixed up with it. Regarding Yahoo, Arrington says: "Stick in a fork in this one -- it's done."
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