Feeds

Death of a deal – Lycos and USAi come clean

Ecommerce mega deal comes to naught and don’t forget you saw it here first

  • alert
  • submit to reddit

Intelligent flash storage arrays

The party’s over - and not before time. Lycos and USA Networks (USAi) have finally come clean and admitted that their ill-fated plan to merge has been killed off. US cable news station CNBC broke the news and an official statement was released this afternoon. The statement said: "Lycos, USA Networks and Ticketmaster Online-CitySearch (TMCS), today jointly announced that they have agreed by mutual consent to terminate their merger agreement." It went on: "The termination agreement requires Lycos to pay USAi and TMCS an aggregate of $35 million under certain circumstances if prior to July 15, 1999 Lycos enters into an agreement with respect to, or becomes subject to, certain acquisition proposals. In addition, subject to certain exceptions, USAi and TMCS each has agreed that until July 15, 1999, it will not acquire Lycos stock or make any proposals to acquire Lycos." The $18 billion deal would have created an ecommerce giant, but it never won the hearts and minds of Lycos’ shareholders. It was this shareholder pressure that has been blamed for the deal’s demise. Online newswire service Bloomberg quoted Lycos CEO Robert Davis, from the CNBC report: "Yeah, I'm disappointed in how it went," he said. "I believe in the value of the transaction. Since the very first day we put it together, we've been fighting the tape." Back in February, The Register ran a story that said - categorically - that the sickly looking deal had turned blue and died. That story created such a brouhaha that Lycos’ head of marketing took time out of her busy schedule to call our journalistic standards ‘lacking in integrity’ and to describe the story as ‘erroneous and irresponsible.’ We are looking forward to her calling back now to tell us what a good job we do. But we ain’t holding our breath. ® See earlier stories: More woes for Lycos/USA Networks deal Lycos/USA Networks deal in limbo, VP says Lycos/USA Networks deal hits more stormy weather Lycos/USA Networks merger collapses

Top 5 reasons to deploy VMware with Tegile

More from The Register

next story
WHY did Sunday Mirror stoop to slurping selfies for smut sting?
Tabloid splashes, MP resigns - but there's a BIG copyright issue here
Spies, avert eyes! Tim Berners-Lee demands a UK digital bill of rights
Lobbies tetchy MPs 'to end indiscriminate online surveillance'
Scrapping the Human Rights Act: What about privacy and freedom of expression?
Justice minister's attack to destroy ability to challenge state
Inequality increasing? BOLLOCKS! You heard me: 'Screw the 1%'
There's morality and then there's economics ...
Google hits back at 'Dear Rupert' over search dominance claims
Choc Factory sniffs: 'We're not pirate-lovers - also, you publish The Sun'
EU to accuse Ireland of giving Apple an overly peachy tax deal – report
Probe expected to say single-digit rate was unlawful
While you queued for an iPhone 6, Apple's Cook sold shares worth $35m
Right before the stock took a 3.8% dive amid bent and broken mobe drama
prev story

Whitepapers

A strategic approach to identity relationship management
ForgeRock commissioned Forrester to evaluate companies’ IAM practices and requirements when it comes to customer-facing scenarios versus employee-facing ones.
Storage capacity and performance optimization at Mizuno USA
Mizuno USA turn to Tegile storage technology to solve both their SAN and backup issues.
High Performance for All
While HPC is not new, it has traditionally been seen as a specialist area – is it now geared up to meet more mainstream requirements?
Beginner's guide to SSL certificates
De-mystify the technology involved and give you the information you need to make the best decision when considering your online security options.
Security for virtualized datacentres
Legacy security solutions are inefficient due to the architectural differences between physical and virtual environments.