Microsoft has reportedly signed a confidentiality agreement with web search firm Yahoo!, which enables the Redmond-based software giant to get a more detailed view of Yahoo!’s business operations. This will assist the company in making a more informed bid to either acquire Yahoo! or make an offer for a minor stake in the search firm.

According to Reuters, Microsoft joins numerous other private equity companies that are similarly investigating Yahoo!'s financials and business practices, in order to make an offer for the struggling internet company. The publication stated that private equity firms KKR and TPG Capital also concluded confidentiality agreements with Yahoo!. These firms are aiming to purchase small stakes in Yahoo! of up to 20%, with the goal of eventually making a play for the entire company, people familiar with the matter told Reuters.

This isn’t the first time Microsoft has made a bid for Yahoo!, as it offered to acquire the company in 2008 for $31 a share, which amounted to a total equity value of approximately $44.6 billion. The Redmond company pulled the offer when Yahoo! rebuffed the proposed deal.  

During September Yahoo! made some sweeping changes to its leadership structure, with the Board of Directors (BoD) appointing Timothy Morse as interim chief executive officer. Morse, who also continues in his former role as chief financial officer, took charge as CEO after Carol Bartz had been removed by the BoD from her role as CEO.

 

In related news, Yahoo also recently signed a definitive agreement with online advertising company interclick, which will see the search company acquiring interclick.