By Wei Gu
HONG KONG Dec 23 (Reuters Breakingviews) - The Alibaba founder wants to buy back most of Yahoo’s stake in his e-commerce giant. An earlier spat over their payment unit Alipay showed Ma has nuisance value and may deter other bidders. But financing it won’t be easy. After selling at the bottom, he risks paying a peak price.
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-- The board of Yahoo (YHOO.O) is considering a sale of the bulk of its holdings in the Alibaba Group of China, and Yahoo’s Japanese affiliate, back to their majority owners in a complex transaction that values the stakes at about $17 billion, according to the New York Times Dealbook, which first reported on the plan on Dec. 21.
-- The proposal values Yahoo’s 43 percent in Alibaba at about $12 billion, and its 35 percent stake in Yahoo Japan at about $5 billion. It could be executed either as a stand-alone deal or alongside a minority investment in Yahoo by private equity firms Silver Lake or TPG. Yahoo is expected to keep a 15 percent stake in Alibaba, according to Dealbook.
-- Reuters: Yahoo to weigh deals for Asian assets - sources [ID:nN1E7BK0FD]
Ma, he’s making eyes at me [ID:nS1E78P0BJ]
The author is a Reuters Breakingviews columnist. The opinions expressed are her own)
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