Microsoft to acquire LinkedIn for $26.2 billion

LinkedIn Headquarters Mountain View

There is one biggest acquisition and the latest news in the world history that Microsoft Corporation to acquire professional networking website LinkedIn for $26.2 billion in cash. This acquisition is a big one for both companies and most helpful for Microsoft to enhance its business sales and email software. This deal brings simultaneously the world’s top professional cloud with the world’s major specialized network. Microsoft said that LinkedIn will keep its own brand, freedom, and current LinkedIn CEO Jeff Weiner. He will send a report directly to Microsoft CEO Satya Nadella. This is Satya Nadella’s first big achievement as he took over the summit job more than two years back.

Microsoft CEO Satya Nadella has decided to pay $196 per share in an all-cash transaction valued at $26.2 billion for the industry oriented social networking immense. The whole transaction has already been approved by both but it must still get on hold for regulatory, authoritarian and other essential approvals. The deal is probably to reach its destination till the end of this year. Microsoft is able to access to the world’s leading professional social network with over 430 million members globally. If some reason the agreement will cancel then according to Microsoft’s SEC filing termination rights LinkedIn will have necessary to pay $725 million termination fee to Microsoft.

Mr. Nadella saidtoday’s work is split between tools workers use to get their jobs done, such as Microsoft’s Office programs, and professional networks that connect workers. The deal, he said, aims to weave those two pieces together.” It is really an admirable approach that both the professional cloud and the professional network coming together. It is a big part of the deal for Microsoft to being the center of global business workers. Mr. Nadella expects the deal will open new scopes and perspective for Microsoft’s Office suite and LinkedIn as well, both have saturated their markets and generally boost Microsoft’s income and its competitive position.

This contract will permit both companies to keep increasing, invest in and innovating on LinkedIn to make importance for their members and customers. The LinkedIn members will continue to increase their skills, abilities to find a job using the LinkedIn platform. They will continue to boost customers to hire high talent, advertise their brand and deal with their customers. Moreover, this contract is more than money, it is a powerful and great signal of where Satya Nadella is currently taking Microsoft. He sees its future because the cloud computing business provides all types of professional and specialized services to clients. It includes a social network to connect them with each other.

According to co-founder, chairman of the board and controlling shareholder of LinkedIn Reid Hoffman, “Today is a re-founding moment for LinkedIn. I see an incredible opportunity for our members and customers and look forward to supporting this new and combined business,” said Hoffman. “I fully support this transaction and the Board’s decision to pursue it, and will vote my shares in accordance with their recommendation on it.”

Kamlesh Mourya

Author: Kamlesh Mourya

Kamlesh Mourya is the director of 7eyetechnologies; an India based IT Company that provides services web development, designing and online marketing. Kamlesh occasionally blogs about social media.

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