Baidus bid to acquire Yahoo for $40.7 billion was rejected on Tuesday by a California judge, according to Bloomberg.
The bid by the online search giant, which has been the target of a government-mandated takeover plan by the US government, had been viewed as a longshot and unlikely to go through, but the news site said the bid was blocked by Judge Susan Illston of the US District Court for the Northern District of California.
Baidus is bidding to acquire a controlling stake in Yahoo and other media companies such as the Wall Street Journal, Fortune and Conde Nast.
Bid details are not known but the deal is expected to close in the third quarter.
Biden, who is a billionaire and has been one of the most powerful figures in US politics, has been an outspoken critic of the takeover.
He called for the US to block the deal in a letter to US President-elect Donald Trump on November 18.
Bai said the proposed acquisition would not have a material adverse impact on the company’s operations or financial position.
He also said Baids acquisition would give Baid users a choice in what they read and access.
The news site added that the deal was likely to close before the end of the year.