Posted: 4:45 p.m. MT Oct. 31, 2007
Google Bids for Time Warner at $60 Billion
Palo Alto, CA - Time Warner Inc. (TWX) received a hostile takeover bid from Google Inc. (GOOG) today. After speaking with Industry Analysis Paul Kim, the extreme nature of this takeover is explained. According to Kim, Google has offered $60 billion in debt, cash, and stocks. The debt is measured at $5 billion, the cash at $10 billion, and the stock at $45 billion. The cash, he says, is an added bonus. CEO of Time Warner, Richard D. Parsons, says that they will do their analysis which may take a month.
Dr. Eric Schmidt CEO and Chair of Google, said, "We saw the need to add content production to our company quickly. They are one of the biggest content producers; we are one of the biggest content distributors. Merge content production with content distribution. It make good sense to us." He also commented that this takeover has been under consideration for under six months.
Terry Semel, CEO and Chair of Yahoo, Steve Balmer, CEO of Microsoft, and William Gates, Chair of Microsoft, all offered no comment.