Google and Yahoo are trying to acquire Rediff.com India Ltd, which runs one of India’s most popular consumer Internet portals. Rediff is one of the India based Nasdaq-listed company and they are in talks with the global companies for a negotiated takeover deal.
It has to be noted that India is now emerging as a strong global economy with a growth in both telephone penetration and Internet in urban areas. Rediff.com is an online provider of news, email communication, entertainment and shopping services.
Rediff’s stock took a sharp jump in share price and volume on Nasdaq during the last week. On July 12, Rediff shares closed at $26.46 and more than 3.3 million shares traded hands. The company has a current market capitalisation of $738 million. It is speculated that if the deal gets through then the valuation may be close to $1 billion dollars.