Andre Yoskowitz
11 Sep 2011 14:45
Earlier this week, Bloomberg reported that AoL was looking into merging with Yahoo!, with AoL CEO Tim Armstrong looking into the CEO spot recently left by Carol Bartz.
CNBC has now reported that a "source close to Yahoo says no interest in a deal with AOL."
Original story:
Bloomberg has reported that AOL CEO Tim Armstrong has been talking to Yahoo! advisers to gauge any interest in a merger of the two struggling companies.
Over the past few months, AOL has been speaking to private equity firms in an effort to go private while they complete their turnaround efforts.
Armstrong is said to have pushed a merger last year, but newly fired Yahoo! Carol Bartz had rebuffed the talks at the time.
While both companies are in similar markets, Yahoo is worth $18 billion and AOL is worth just $1.6 billion (market value) with declining revenue and losses. AOL has lost $800 million since 2009.