Alibaba Buys Itself Back from Yahoo
It seems that Facebook doesn’t get all of this week's press when it comes to major tech companies and deals that go for billion-dollar figures. At least not as long as Yahoo and Alibaba have something to say about it.
Yahoo is tying up some loose ends with Alibaba, in which the company has owned a 40-percent stake for some time.
Alibaba will be buying back half of Yahoo’s stake in the company, and it’s going to cost them $7.1 billion. Yahoo is going to receive $6.3 billion in cash and as much as $800 million in preferred stock. The company initially bought the 40-percent stake for $1 billion in 2005.
This deal values Alibaba somewhere between $30 and $35 billion, meaning an IPO could also be somewhere in the not-too-distant future for the Chinese e-commerce company.