While rumors of a possible sale still surround Yahoo!, a recent report by Bloomberg indicates a different story.
It is being said that the internet company is leaning towards a partial sales of its assets instead of selling the company as a whole. Reports of Yahoo considering a complete sell off caused quite a stir recently, however nothing has materialized. A partial sale of assets is a strategically viable option and this step will surely bring in some financial respite for Yahoo!, while also keeping their brand active. You can bet that if Google was to buy Yahoo! (which was the latest rumor), the Yahoo! name would be the first thing to go.
Just who is interested in buying Yahoo!
- KKR & Co (private equity firm)
- Blackstone Group LP (private equity firm)
- Alibaba Group Holding Ltd (whose biggest shareholder is Yahoo!)
- Silver Lake (private equity firm)
- Russia’s Digital Sky Technologies
Apparently, Yahoo! is keen on selling off its Asian assets like the company’s stakes in Yahoo! Japan and China’s profitable e-commerce company Alibaba. This situation looks like the “most viable option” for Yahoo and would let the company either redistribute the proceeds to shareholders or use the funds raised to buy back shares.
Yahoo! co-founder, Jerry Yang, isn’t convinced that the company will need to be sold off completely in order to still operate. At the All Things Digital Asia conference he said that the company’s intent was “not to put ourselves up for sale. The intent is to look at all options. There’s plenty of options for the board, and plenty of options for our shareholders to realize value.”
Although there has been no official confirmation from Yahoo! on there intentions, it certainly makes for compelling news. The line “watch this space” has never been so appropriate.