Digg for Sale?

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User-generated news site Digg has been working with investment bank Allen & Co. for a few months now, and pitching big tech and media companies on a sale.

Four companies are in heavy due diligence with Digg - two media/news companies, and two big Internet companies - Google and Microsoft. And Google and Microsoft are on the verge of making their bids.

Digg is prepared to take less than the $300 million.

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