MCI Worldcom (WCOM) on Monday launched a surprise US$323 million cash bid for OzEmail (OZEMY), Australia's biggest Internet service provider.
MCI said it would offer $2.20 a share for OzEmail's 147 million shares outstanding. MCI has already acquired 14.9 percent, or nearly 22 million shares, in OzEmail.
Shares of OzEmail have soared in recent weeks on rumors that either America Online (AOL) or Britain's Cable & Wireless (CWP) would make a bid. It's still possible that either of those companies may try to trump MCI WorldCom with a last minute offer, analysts said.
OzEmail's board of directors said it would accept MCI WorldCom's bid "in the absence of a higher offer." That's code for "we want more," analysts said.
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WebTV's flashy ads: Advertisers looking to pack a little more punch into their Web ad campaigns have a new alternative on WebTV: hybrid television and banner ads.
WebTV's new "Click-To-Video" ads, launched Monday, wrap existing television ad spots into a banner ad. When a surfer clicks the banner ad, the television commercial plays while the advertiser's Web site loads.
The new ad style allows companies to combine the quality of television advertising with the Web's targeting capabilities to reach specific sets of WebTV's 500,000 subscribers, the company said.
"We're bringing together the best of the Web and television to define the future of advertising," said Joe Poletto, WebTV's vice president of advertising.
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Infospace boosts IPO price: Responding to investors' appetite for Net stocks, Infospace on Monday boosted both the price and number of shares for sale in its initial public offering.
The Redmond, Washington, company, which operates a portal site and packages syndicated online content for other portals like AOL, will sell 5 million shares at $13 to $15, rather than 4 million at $9 to $11 as originally planned.
Lead underwriter Hambrecht & Quist will set a final price for the offering as early as Monday night, and the stock could begin public trading Tuesday.
Reuters contributed to this report.
