Yahoo

[TTTI]

Latest update on Yahoo asset sales bidding...

Shrinking revenues add to Yahoo’s woes as it vets suitors

NEW YORK — Yahoo said on Tuesday that its business continued to deteriorate in the first quarter, putting more pressure on the company to find a buyer quickly for its Internet operations.

Ms Marissa Mayer, Yahoo’s chief executive, said during a webcast to discuss the financial results that a review of potential suitors was proceeding at the “fastest responsible pace”, but she declined to be more specific. She also disputed news reports that the company was dragging its feet on a potential sale and refusing to share information with bidders.

“Let me be unequivocal: Our board, our management team and I have made the strategic alternative process a top priority,” said Ms Mayer. “We’ve been responsive and engaging, having personally answered hundreds of questions and requests for information.”

The first bids for Yahoo’s core Internet business were due Monday. Verizon Communications, the mobile phone carrier that owns AOL, was widely viewed as the leading contender.

Bain Capital and Vista Equity Partners have submitted a joint bid, with Mr Ross Levinsohn, Yahoo’s former interim chief executive, playing a major role, according to a person involved in the bidding process, who spoke on condition of anonymity because the bids were confidential. Other bidders included the private equity firm TPG.
...
http://www.todayonline.com/tech/shrinkin...ts-suitors

Finally, the long process of breaking up this once titan is slowly starting due to pressure from the activist investor

At this stage, Yahoo may be worth a look.
Afterall, it's sum of parts has consistently been much lower than the breakup value.

[CityFarmer]

Our mentor, is one of the bidder for Yahoo core biz...

Warren Buffett and Dan Gilbert Unite in Bid to Acquire Yahoo

http://www.nytimes.com/2016/05/16/busine....html?_r=0

[specuvestor]

http://www.businessinsider.com/yahoo-sto...pos-2014-9

Is Yahoo's business really worth zero? :p Certainly undervalued... or is it not? Yahoo's growth as a tech company hasn't been spectucular or anything so far.

I guess some investors dumped Yahoo shares and went to buy $BABA.

IIRC when Palm IPOed it was the same thing... stake in Palm was worth more than the parent 3Com

So it's either Yahoo is undervalued or there's another alternative explanation....

arbitrage in theory sounds so easy... even trying to arbitrage ADR is already not so easy.

Well-said. It is the "abnormal normal" of technology stocks. I am trying to make better understanding of it.

Yahoo is probably valued more realistically at present, while Alibaba is valued base on future hope. Both valuation unit in $, but base on different methodologies, which can't be compared as it is, IMO

(not vested in both, Yahoo and Alibaba)

yup I love it when people give this kind of statement to show they are clueless how the real world works

quote: "Here's why: If someone were to step in and buy Yahoo today, that buyer would be able to sell the company's stakes in Alibaba and Yahoo Japan, pay for the acquisition entirely, and start profiting from Yahoo's core business immediately"

Yahoo traded at US$37b market cap yesterday, still around US$40b as per the article... 10 months ago... interestingly the stake in Yahoo Japan and Alibaba remains approximately the same

But with this catalyst coming, breakup value might finally apply... their core biz is not zero, but probably less than what the article was suggesting

SAN FRANCISCO — Yahoo was the front door to the web for an early generation of internet users, and its services still attract a billion visitors a month.

But the internet is an unforgiving place for yesterday’s great idea, and Yahoo has now reached the end of the line as an independent company.

The board of the Silicon Valley company has agreed to sell Yahoo’s core internet operations and land holdings to Verizon Communications for $4.8 billion, according to people briefed on the matter, who were not authorized to speak about the deal before the planned announcement on Monday morning.

After the sale, Yahoo shareholders will be left with about $41 billion in investments in the Chinese e-commerce company Alibaba, as well as Yahoo Japan and a small portfolio of patents.

http://www.nytimes.com/2016/07/25/busine....html?_r=0

[cyclone]

Once upon a time, yahoo was the king of internet.

Yahoo to be named Altaba, Mayer to leave board after Verizon deal

Yahoo Inc said Monday that it would rename itself Altaba Inc and Chief Executive Officer Marissa Mayer would step down from the board after the closing of its deal with Verizon Communications Inc.

Yahoo has a deal to sell its core internet business, which includes its digital advertising, email and media assets, to Verizon for $4.83 billion.

More details in http://www.reuters.com/article/us-yahoo-...SKBN14T2I7