Time for your weekly dose of Monday morning money talk! Today Microsoft has announced plans to acquire professional social platform LinkedIn for $26.2 billion, which equals $196 per share. CNBC reports that shares of LinkedIn surged 47 percent after the news dropped, where Microsoft stock went down 3.2 percent.
Microsoft CEO Satya Nadella shared the following statement:
"The LinkedIn team has grown a fantastic business centered on connecting the world's professionals. Together we can accelerate the growth of LinkedIn, as well as Microsoft Office 365 and Dynamics as we seek to empower every person and organization on the planet."
LinkedIn CEO Jeff Weiner added that "little is expected to change," with one exception:
"For those members of the team whose jobs are entirely focused on maintaining LinkedIn's status as a publicly traded company, we'll be helping you find your next play. In terms of everything else, it should be business as usual. We have the same mission and vision; we have the same culture and values; and I'm still the CEO of LinkedIn."
This is perhaps the most surprising social media purchase since Facebook bought Instagram in 2012 for $1 billion. Read more about the LinkedIn acquisition here.