Priceline to acquire Kayak in $1.8B deal

Date:
Thursday November 08, 2012

Company Name:
KAYAK

Company Website:
http://www.kayak.com

Categories:
Consumer Web, eCommerce

Deal:
Acquisition

Source:
http://yhoo.it/TcdBzr

Priceline.com Inc. plans to buy online travel-research company Kayak Software Corp. for $1.8 billion to expand its travel business.

Priceline will pay about $500 million in cash and $1.3 billion in stock and assumed options. The deal values Kayak at $40 a share, a 29 percent premium over its closing price Thursday.

Shares of Kayak — which also reported a 78 percent jump in third-quarter earnings — soared in after-hours trading while Priceline shares fell.

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