Update: Yahoo says $33 is the magic number

Just in case you didn’t catch it the first time, Yahoo (YHOO) is saying again that it’s now willing to sell itself to Microsoft (MSFT) for $33 a share. The Internet giant said in a letter to shareholders Thursday that the current board, which faces a challenge from a slate backed by dissident shareholder Carl Icahn, “continues to work to maximize value for you.”

The letter says Yahoo would sell itself or its search business to Microsoft, and is considering a spinoff of its Asia assets and return of cash to shareholders. But any deal would have to provide “real value to our stockholders,” Yahoo adds. The company also castigates Microsoft and Icahn for what it calls their “conflicting and confusing statements.”

Of course, there’s been no shortage of confusion in this deal. The latest salvo from Yahoo comes as Microsoft meets with execs at another possible acquisition target, the AOL unit of Fortune’s parent, Time Warner (TWX). And as Fortune’s Adam Lashinsky pointed out Monday, when Yahoo first made note of its desire to sell at $33, “That’s a price it easily could have gotten in February but one that Microsoft doesn’t appear willing to pay today.” Maybe both sides just like all the attention they’re getting more than they like the prospect of an actual deal. Yahoo shares, after closing at $22.48 Wednesday, traded as high as $23.80 in premarket action Thursday.