- IAC/InterActiveCorp ... is close to an agreement to acquire Ask Jeeves Inc. ... for about $1.9 billion.
IAC/InterActive owns ... Expedia, Ticketmaster, Home Shopping Network, Match.com and CitySearch.
But this would be a much larger and riskier deal. While there's a certain logic to combining Ask and IAC, the business literature shows that the vast majority of mergers of large companies either destroy value or fail to create value. Promises of "synergies" usually fall victim to the staggering complexity of aligning the organizations.
[via Steve Rubel]
Update: Charlene Li has a good list of the expected synergies.
Update: It's official. Here's the press release.