FRANKFURT, Germany—Shares of Yahoo Inc. traded on the German stock exchange tumbled more than 18 percent on Monday after Microsoft abandoned its bid for the Internet icon.
Microsoft Corp. withdrew its US$42.3 billion (euro27.4 billion) bid to buy Yahoo on Saturday after last-ditch efforts to negotiate a mutually acceptable sale price failed.
Yahoo shares fell 18.6 percent to euro14.74 (US$22.79) in Frankfurt trading Monday.
Microsoft was willing to pay US$47.5 billion (euro30.7 billion), or US$33 (euro21.35) per share, up from its original bid of US$29.40 (euro19.02) per share. But Yahoo's board demanded at least US$53 billion (euro34.29 billion), or US$37 (euro23.94) per share, according to a letter written by Microsoft chief executive Steve Ballmer. That would have been nearly double Yahoo's stock price of US$19.18 (euro12.41) at the time Microsoft first made its bid a little over three months ago.
