Microsoft Corp. plans to stick with its current offer price to buy Yahoo Inc., at least until the Internet-search firm agrees to buyout talks, The Wall Street Journal reported Tuesday. “Why would Microsoft bid against themselves? The company sees no reason to bid against itself,” one of the people said. The people requested anonymity because they are not authorized to speak on behalf of the company. A Yahoo spokeswoman declined to comment. Microsoft and Yahoo executives have met once to discuss a potential merger since Microsoft made its $31-a-share for Yahoo on January 31, other sources told Reuters earlier. Although some technology blogs have speculated that Microsoft is planning to raise its bid, one person familiar with the company's plans said Microsoft does not feel the need to pay more because no viable strategic alternatives have emerged. Since Microsoft's offer, Yahoo has held talks with Rupert Murdoch's News Corp and Time Warner Inc's AOL division, sources told Reuters earlier. Microsoft also feels comfortable biding its time because a recent roadshow by top Yahoo executives, intended to shore up support among US institutional investors and prove the bid was too low, was “underwhelming,” one of these people said. Yahoo rejected Microsoft's offer, currently valued at about $42 billion, in February, saying it “substantially undervalues” the company. Shares of Yahoo closed Monday's session down 0.2 percent at $28.93 on the Nasdaq, while Microsoft shares closed up 1.6 percent at $28.38. The value of the cash-and-stock offer has since fallen to about $42 billion. Microsoft wants to use the possibility of higher bid to woo Yahoo into serious talks. __
