Monday, July 16, 2007

Rediff:Another Organization To Be Acquired

India-based Rediff, a widely-used consumer Internet portal is most likely to be taken over by Google or Yahoo.The recent launch from Rediff of a website for consumers to submit user-generated content such as audio, images and videos for free, has helped Rediff's NASDAQ stock to move upwards in the past week when it moved from $17.94 per share to $25.41 per share. Its trading volume has also increased to a reported valuation of $1 billion. Other companies like AOL and Microsoft may also be in foray of acquisition.
Yahoo's business is very much in line with what Rediff currently offers and if acquisition happens then it gives a clear edge to Yahoo than others for penetrating a large piece of Indian online consumers market.Google is aggressively trying to diversify its line of businesses by strategic takeovers of the companies and Rediff interests them from that point of view.
Rediff, from all options,is in a good position to get the best possible deal.It will be interesting to see in times to come who will get Rediff in one's kitty.

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