Yahoo appears to be getting closer to giving its frustrated shareholders something they’ve long wanted: a sale of the Internet company’s holdings in China and Japan.
The prospect of Yahoo Inc. finally consummating a deal with China’s Alibaba Group and Softbank Corp., the controlling owner of Yahoo Japan, emerged in online reports published Wednesday by The New York Times and The Wall Street Journal.
Citing unnamed people familiar with the matter, both newspapers reported Yahoo is exploring a proposal valued at about $17 billion, or $14 per share. The price reflects Wall Street’s belief that Yahoo’s investments in Alibaba Group and Yahoo Japan have become the company’s most valuable pieces. Yahoo’s U.S. business has lost its luster as the company’s website loses traffic and advertising revenue to Internet search leader Google Inc. and Facebook’s social network.
Read the rest of the story: Reports: Yahoo examining complex $17 billion proposal to sell most holdings in China, Japan.
Yahoo Inc is in advanced talks to exit its joint venture in Japan with SoftBank Corp, a move that could lead it to focus on reaching a decision on its China assets.
A deal to transfer Yahoos 35 percent stake in Yahoo Japan to telecommunications company and investor SoftBank could come within a few weeks, people with knowledge of the discussions said. The public value of the stake is just under $7.5 billion.A straightforward sale is unlikely for tax reasons and the parties are exploring other structures, these people said. A deal has not yet been reached and could yet fall apart.
When asked for comment, a SoftBank spokesman said there was "no truth" to claims that Yahoo was planning to sell its stake back to SoftBank, but declined to comment on discussions.Shares of Yahoo Japan rose 8 percent and Softbank shares fell as much as 4 percent on the Tokyo stock exchange after the Reuters report.
Read the rest of the story: Exclusive: Yahoo in talks to exit Japan, sources say.
Microsoft Corp met Wednesday with Japan’s Fair Trade Commission officials to object to the planned tie-up between Yahoo Japan and Google Inc, the Nikkei business daily reported.
Microsoft expressed concerns about the deal from a competitive standpoint, citing how it will give Google nearly complete control over Japan’s search services and related advertising, the paper said.
Last week, Microsoft said it planned to provide proof underscoring how the Google-Yahoo Japan partnership would be detrimental to competition, Nikkei said.
Yahoo Japan, Japan’s largest Internet portal operator that currently uses Yahoo Inc’s search technology, has confirmed with the Japanese government that the partnership with Google will not violate antitrust regulations.
Read the rest of the story: Microsoft objects to Google-Yahoo Japan deal: report – Yahoo! News.
In what would be a stunning blow to the massive search alliance between Microsoft and Yahoo, Google is apparently zeroing in on a deal to grab the algorithmic search business for Yahoo Japan, said several sources.
The agreement between Yahoo Japan and the U.S. search giant could be announced as early as today in Japan, sources said, and could be part of a larger deal between the two companies around mobile or other products.
News of the deal could come when Yahoo Japan announces its financial results at 3:10 pm Japan time on July 27, which is 11:10 pm PT today.
If Google (GOOG) and Yahoo Japan join together, the pair will control almost the entire market share of search in the Japanese market. Paid search is apparently not part of this deal at this time.
Read the rest of the story Exclusive: Is Yahoo Japan Poised to Switch to Google Search?.