Microsoft Corp has reached an agreement to acquire Greenfield Online Inc, owner of Ciao GmbH, a provider of consumer and price comparison websites.

Published: 01 Sep 2008

Microsoft Corp has reached an agreement to acquire Greenfield Online Inc, owner of Ciao GmbH, a provider of consumer and price comparison websites.

The move will extend Microsoft's search and e-commerce services in Europe.

Under the terms of the agreement, Microsoft will commence a cash tender offer to purchase all of the outstanding shares of Greenfield Online for $17.50 per share in a transaction valued at approximately $486 million.

Ciao operates shopping communities in seven countries and languages. The company says the Ciao sites get more than 26 million unique visitors a month and so far has generated more than five million product reviews.

John Mangelaars, vice president, Consumer and Online, Microsoft Europe, Middle East and Africa said that integrating Ciao' capabilities into Live Search will provide a strong launchpad for company's commercial search offer in Europe and enhance its e-commerce offering on MSN.

Upon close of the agreement, the Ciao business will report to Rajat Taneja, general manager for Worldwide Commercial Search at Microsoft.