Microsoft land its largest deal as it agreed to buy LinkedIn for 26.2 billion dollars
Microsoft is set to purchase LinkedIn Corp for 26.2 million dollars its biggest deal ever. After the deal which is set to be closed by 2016, LinkedIn will become part of Microsoft’s productivity and business processes unit.
“The professionals of the world can benefit in terms of getting their work done,” said Microsoft Chief Executive Satya Nadella, who has been trying to reinvigorate the once-lumbering company since taking over in February 2014, in a phone call.
LinkedIn has been given a premium offer with 196 dollars per share compared to its closing price at the New York Stock Exchange trading which was at 49.5 percent.
“The future of productivity is around people, identity and data and the relationships between them… Microsoft is buying LinkedIn for the opportunity to leverage these capabilities and combine them with Microsoft’s strong but complimentary assets in those three areas.” said Matt McIllwain, a portfolio manager at Madrona Ventures.
LinkedIn will remain its own entity retaining its “distinct brand, culture and independence” in the same way YouTube is relatively independent from parent Alphabet of Instagram from Facebook.
Microsoft said it would issue new debt to fund its acquisition of the world’s largest and most valuable professional network.
