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Angie's List rebuffs IAC proposal, sees shares jump

Source: Angie's List

Shares of Angie's List popped Wednesday after IAC/InterActiveCorp announced a bid to acquire it for $8.75 per share.

The stock was up over 11 percent in extended trade.

However media company IAC said the board of Angie's List was not interested in the proposal. Angie's List declined to comment on the matter.

IAC disclosed a letter it had sent to Angie's List earlier, which read:

"Our strong preference would have been to work with you on a confidential and cooperative basis. However, we have been unable to develop any meaningful dialogue with you for many months now and we're disappointed by your unwillingness to continue discussions with us following our meeting. Further, in light of the increase in the Angie's List share price during the days that followed our October 5 letter to the Board expressing an interest in discussions, and further increases following our October 23 meeting and acquisition proposal, we determined it was advisable to publicly release the text of this letter concurrent with its delivery to the Board to ensure that your stockholders are fully apprised of the significant value afforded by our proposed transaction."

The all-cash proposal would have represented a premium of more than 50 percent, IAC said in a statement.