Yahoo has divested half of its assets of the Chinese e-commerce giant Alibaba, selling back to Alibaba its own company shares for $6.3 billion in cash and $800 million in preference shares and a one-time buyer’s fee of $500 million, for a grand sum of $7.6 billion that will go straight back into Yahoo’s pocket, according to All Things D.
Yahoo still owns 20 percent in the company and its after taxes takeway is “just” $4.5 billion $4.3 billion, All Things D reported, which should allow new Yahoo CEO Marissa Mayer (formerly of Google) to pay for all of the new company smartphones she’s promised employees and then some.
Updated 4:15 pm EDT: Yahoo will be giving most of the proceeds of the sale, some $3.65 billlion, back to investors though whether as buybacks or dividends isn’t clear yet, The Business Insider and All Things D reported. The Business Insider report also includes a memo from Mayer to Yahoo employees saying the company received $4.3 billion from the sale, not $4.5 billion as earlier reported.
