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Yahoo closes $7.6 billion deal with Alibaba Group

41 pointsby jwugglesover 12 years ago

6 comments

deveacover 12 years ago
<i>&#62;Back in May, Yahoo pledged to distribute most of the Alibaba windfall to its shareholders. But after making that promise Yahoo hired longtime Google Inc. executive Marissa Mayer to its CEO. Last month, Yahoo revealed Mayer is considering holding on to the money.</i><p>If Yahoo! was in my portfolio, I would be furious if they distributed that money to me in the form of a dividend.<p>Well maybe not furious. I'd take it, then immediately sell all my stock on the signal that they are too inept to see that that money would be much better spent on transformative changes and acquisitions in order to turn the company around.
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shawndumasover 12 years ago
I'm confused -- how do the following reconcile:<p><pre><code> -- Alibaba is paying [...] to buy back Yahoo's 20[%] stake -- Yahoo will retain a roughly 20[%] stake in Alibaba</code></pre>
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randalluover 12 years ago
Time to start more acquisitions?
dpcxover 12 years ago
Anyone remember how much Yahoo paid for it's initial stake in Alibaba?
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lquistover 12 years ago
Hmm...<p>As an investor, I'd rather capital was reinvested at Alibaba than at Yahoo, though I'd prefer a dividend to that.
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freehunterover 12 years ago
This is kind of a conspiracy theory, but I have to wonder... Mayer came from Google. As we know from recent news about Asus and Android, Google has a big problem with Alibaba because of their Aliyun OS, which Google claims to be an incompatible fork of Android with pirated apps in the app store. I have to wonder if this sale isn't somehow related. Possible Yahoo wishing to distance itself from Alibaba?
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