Yahoo! Is Giving Itself Away
Chris DeMuth Jr. • 48 Comments
Chris DeMuth Jr. • 48 Comments
Yahoo: Figuring Out Alibaba And Then Focusing On Original Content Creates Upside Catalyst
Jacob Donnelly • 39 Comments
Jacob Donnelly • 39 Comments
Getting From BooHoo! Back To Yahoo Again May Not Be That Far Off
Lord Baltimore • 51 Comments
Lord Baltimore • 51 Comments
Mon, Apr. 18, 5:35 PM
Sun, Apr. 17, 8:56 PM
- With tomorrow's deadline arriving for bidders for core assets of Yahoo (NASDAQ:YHOO), the long-shot bid of Time Inc. (NYSE:TIME) won't be among them, as the company decided fixing the business was too big a task, The Wall Street Journal reports. (It would have also faced severe leveraging trying to swallow the business.)
- With a number of bidders bowing out as expected, Verizon (NYSE:VZ) is indeed a front-runner among the few firms moving forward. Aligning somewhat with a number of other media reports (and rumors), now bowing out for sure are Alphabet (GOOG, GOOGL), Comcast (NASDAQ:CMCSA), AT&T (NYSE:T) and IAC/InteractiveCorp (NASDAQ:IAC), the Journal says.
- It appears Verizon's biggest competition may come from private equity (Bain Capital, TPG, Advent International), reinforcing the strength of Verizon's bid. It was unclear whether KKR would stay in the bidding, and the Daily Mail (OTCPK:DMTGY) may still be in, but with P-E help.
- Now read Why Verizon Is The Clear Front-Runner To Buy Yahoo »
Fri, Apr. 15, 2:33 AM
- As Yahoo (NASDAQ:YHOO) prepares to accept first-round bids for its core Internet division on Monday, potential buyers have found themselves facing one big problem: How do you value a firm with a declining business when the company appears reluctant to share vital financial details?
- According to the NYT, Yahoo executives have refused to discuss the outlook for 2017 or answer questions about crucial aspects of the business in meetings and phone calls with potential bidders.
Thu, Apr. 14, 5:39 AM
- Verizon (NYSE:VZ) is considered the front-runner in the bid to buy Yahoo (NASDAQ:YHOO), and appears to have backing from key investors who like the idea of a simple cash deal.
- AOL CEO Tim Armstrong is said to be offering Yahoo CEO Marissa Mayer a graceful exit and is willing to deal with the messy business of Yahoo mass firings. However, he may lack support to offer enough money to seal the deal.
- Verizon wants Yahoo's core business. Armstrong also wants Yahoo's 35.5% stake in Yahoo Japan.
- Meanwhile, SoftBank president Nikesh Arora would seek to acquire the whole of Yahoo. He is currently hanging back to gauge what Verizon’s offer is before he makes a move, sources say.
- While there will be other bidders, the only real competition is between Verizon and SoftBank.
- Yahoo has set an April 18 deadline for preliminary bids.
- Now read How My Arbitrage Play Returned More Than 35% In Less Than Two Months (And What's Next)
Fri, Apr. 8, 7:20 PM
- Mario Gabelli -- who owns shares of both Verizon (VZ +0.4%) and Yahoo (YHOO -0.3%) -- says he'd support a bid by Verizon for Yahoo's core Internet business.
- "This is pretty simple. It's basically Investment Banking 101," he says of a deal where Verizon takes over Yahoo core assets and works out a deal with Masayoshi Son to sell off Yahoo Japan.
- "The question is do you want to own Alibaba," Gabelli says -- a company with which he has "some issues" (corporate governance, not fundamentals). The deal can make sense particularly after Verizon took on AOL. "It's $6B -- and they wound up buying a spinoff from Time Warner, it'll fit in nicely with that."
- Meanwhile, in talking to sources, Re/code's Kara Swisher says Google, Twitter and Facebook are among the suitors unlikely to bid -- the "lookee-loos" of this particular yard sale.
- Several dozen companies have been named as interested parties, but Swisher says only a handful will be in the running. Google needn't have bothered after organically winning the search war, she writes, and there's little at Yahoo attractive to Facebook.
- Twitter was more serious, she says, but there's what one source calls a "nearly zero percent change of bidding," for reasons that include a Yahoo integration that would run counter to Twitter's mission to goose growth.
- Now read Goohoo? Google Bids On Yahoo! »
Fri, Apr. 8, 7:37 AM| Fri, Apr. 8, 7:37 AM | 14 Comments
Thu, Apr. 7, 3:25 PM
- If Verizon (NYSE:VZ) prevails with a bid for the core business (and Japan assets) at Yahoo (NASDAQ:YHOO), in an amount said to be less than $8B, Tim Armstrong of Verizon's AOL is liable to take charge of the Yahoo operation -- and Marissa Mayer is likely "gone," Bloomberg reports.
- Of course, a proxy fight is still looming with Starboard, so Mayer and the board could be ousted even if Yahoo holds on to the assets.
- Marni Walden, Verizon's executive VP, would assist Armstrong in running a combined Yahoo/AOL.
- A brief jump into positive ground has ended as Yahoo has given back the gains, now down 1.1%.
- Yesterday, Re/code reported that based on Yahoo's sale "book," the company's financial situation had become "increasingly dire," with revenue and earnings dropping 15% and 20% respectively.
- Now read Why Activists Succeed - And Why They Will Change Yahoo »
Thu, Apr. 7, 2:58 PM
- Yahoo (NASDAQ:YHOO) shares have jumped into positive ground, now up 1.2%, on news that Verizon (NYSE:VZ) is proceeding with a bid for its core assets.
- Shares were down as much as 2.6% today.
- Alphabet unit Google (GOOG, GOOGL) is also weighing its own bid, Bloomberg reports, with interest also showing up from Bain Capital and TPG. Time Inc. (NYSE:TIME) is still out there as well.
- AT&T (NYSE:T) and Comcast (NASDAQ:CMCSA) are losing interest, Bloomberg also said, with Microsoft (NASDAQ:MSFT) also deciding it wouldn't bid.
- Verizon might also put in for Yahoo's Japan interests, the report said.
- Updated 3:06 p.m.: After a big spike into positive ground, Yahoo shares have gone negative again, -0.1%. Verizon is said to value the core business at less than $8B, vs. Yahoo's hopes for a $10B valuation, and has engaged three banks.
- Now read Yahoo Should Be At Least $48 A Share »
Sat, Apr. 2, 4:00 PM
- A month ago, Facebook (NASDAQ:FB) confirmed its interest in live-streaming the National Football League next season. Now it has withdrawn from the bidding, sources say.
- The key sticking point: Facebook wants its live videos to be commercial-free, and balked at the NFL’s traditional advertising model.
- The NFL commands a high price for live streaming: in the most recent deal, CBS and NBC each paid about $45M/game for five Thursday night games during the 2016 and 2017 seasons.
- Facebook CEO Mark Zuckerberg is reportedly obsessed with making Facebook's live-video service a success.
- The NFL continues to shop digital rights to its Thursday night games. Contenders include: Verizon (NYSE:VZ), Yahoo (NASDAQ:YHOO) and Amazon (NASDAQ:AMZN).
- Now read Facebook's Oculus Rift: Not Just Games »
Fri, Apr. 1, 8:09 PM
- Time Inc. (NYSE:TIME) -- considered a long-shot suitor for the core Internet assets of Yahoo (NASDAQ:YHOO) -- is looking at partnering with private equity to make a run for the business, Reuters reports.
- The publisher has spent the past several months boosting its digital presence through a series of bolt-on acquisitions, with special focus on women and millennials.
- A partner in private equity would bolster Time's resources, considered insufficient in the face of interest from buyers that likely include Verizon, AT&T and Comcast alongside large P-E firms. Time's market cap is just $1.6B, while Yahoo may be seeking $10B for the assets.
- Sources said Time talked with buyout firms before signing the nondisclosure agreement forbidding bidders from communication with each other.
- Now read Mayer's Yahoo Will Try To Buy Time »
Fri, Apr. 1, 4:37 AM
- Yahoo (NASDAQ:YHOO) is losing its senior vice president who oversees talent acquisition and development, marking yet another key executive departure after a string of exits last year.
- Sandy Gould, a former recruiting executive at Disney, is leaving after three years at the Internet company.
- Meanwhile, CEO Marissa Mayer is pushing ahead with a difficult turnaround effort that's included slashing total staffing by about 15%, amid growing scrutiny from investors.
Thu, Mar. 31, 2:06 AM
- Yahoo (NASDAQ:YHOO), embroiled in a proxy fight with Starboard Value, has joined the long list of companies implementing proxy access, which makes it easier for longtime shareholders to nominate a director to its board.
- In a new securities filing, Yahoo said it amended its bylaws to allow a stockholder, or group of as many as 20 investors, holding at least 3% of its shares continuously for three years to include board member nominees on its annual proxy statement.
Mon, Mar. 28, 8:33 PM
- Yahoo (NASDAQ:YHOO) has set an April 11 deadline for preliminary bids on its core Internet business and Asian assets, The Wall Street Journal is reporting, in an effort to trim down what could be about 40 players.
- The process looks open, as Yahoo is sending letters asking suitors for price and what assets they hope to acquire.
- Bidders are also being pressed on financing details along with conditions and assumptions for a deal, including tax implications for separating Alibaba and Yahoo Japan assets from the core.
- Previously: Yahoo sale process in the ‘middle of first round,’ reports CNBC (Mar. 28 2016)
- Previously: Report: Microsoft may pitch in 'significant' financing for Yahoo bidder (Mar. 24 2016)
Thu, Mar. 24, 7:49 PM
- Microsoft (NASDAQ:MSFT) has been meeting with private-equity firms and saying it might lend "significant" financing to a bid for Yahoo (NASDAQ:YHOO), Re/code reports.
- That could add seriousness to what many have considered a slow sales process on Yahoo's part. Earlier today, Starboard followed through on launching a proxy challenge with its own board slate amid its complaints about the sales effort.
- Microsoft's chief of partnerships and acquisition strategy, Peggy Johnson, is part of that company's talks, sources told Re/code -- with a clear interest in making sure whoever buys Yahoo will be a good partner, alongside Microsoft's close search and advertising ties to the company.
- Yahoo may want $10B for a core business many price at $6B-$8B. “If Microsoft put in a billion, it would cost them almost nothing,” says one investor. “It’s a minor thing and it buys them a lot.”
Thu, Mar. 24, 4:14 AM
- Yahoo's (NASDAQ:YHOO) activist investor Starboard plans to announce this morning that it will nominate nine directors to Yahoo’s board, following through on its threat to shake up the board.
- In a letter, Starboard says the board and management have continually failed to live up to their own promises, and shouldn’t be trusted with the decision on whether or not Yahoo should remain an independent company.
- A win by Starboard in a vote likely to be held "a few months from now" would increase the likelihood of breaking up Yahoo; Starboard has warned that “turning around this business is extremely difficult” and has said it believes there are several “interested and credible buyers” for the core business.
- Among Starboard’s nominees are dealmaker Tor Braham, technology executives Dale Fuller and Richard Hill, media executive Eddy Hartenstein and Starboard’s own CEO Jeffrey Smith.
- Starboard says it has a 1.7% stake in Yahoo.
- Now read: Yahoo: Mayer vs. The World »
Wed, Mar. 23, 2:24 AM
- Yahoo (NASDAQ:YHOO) is following the lead of DraftKings and FanDuel by stopping its paid daily fantasy sports operations in New York.
- Despite the move, "Yahoo believes that its contests are lawful, and we will continue to assess the legal environment for daily fantasy," a company spokesman confirmed.
- Yahoo also rolled out new safety measures for its games in other states, including contest limits, identification of veteran players and tools that help combat automated entries.
- Previously: FanDuel, DraftKings shut down daily fantasy in NY (Mar. 22 2016)
Yahoo!, Inc. is a global technology company, which delivers personalized search, content, and communications tools on the web and on mobile devices. The company provides a variety of products and services, many of them personalized, including search, content, and communications tools-all daily... More
Industry: Internet Information Providers
Country: United States
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