Yahoo has actually hired a group of bankers and lawyers who would field offers which would be then presented to the Board of Directors who would take a final call on this. The company has reportedly hired Goldman Sachs, J.P. Morgan and PJT Partners to help them with the available options. “Verizon has been touted as one buyer for parts of Yahoo ! ‘s operations and AOL turd-polisher Tim Armstrong has also been rumored to have shown interest” as quoted by the theRegister.co.uk. The bad shift in one of the most powerful internet company’s fortunes has started since the new CEO, Marissa Mayer took over. The investors started losing hope and patience in the company. Yahoo shareholders were seemingly frustrated with a sharp decline in the company’s stock price had been constantly asking for the company to be up for sale. Yahoo has been very low on revenue, since the last three and a half years, the employee number is also being cut down to meet the demand of the situation. All this has happened since the Marissa Mayer took over the company. The situation has eventually turned into a face-saver for the company as bankers are being called in to look for what can be salvaged from the company. Marissa Mayer, Yahoo’s chief executive, has however resisted calls for an outright sale. She has instead focused on trying to streamline the core business while shaping a tax-free transaction to hand off the company’s $25 billion stake in Alibaba to Yahoo shareholders as reported by the Economic Times. The data which is listed below gives a clear insight into what has forced the company to take such a bold step to sell one of its core businesses: >The revenue of the company is currently at US$4.96 billion which is on the up. >The operating income is at US$-4.74 billion which is on a downward trend. >The net income is at US$-4.35 billion which is on a downward trend. > The total assets are at US$45.20 billion which are on a downward trend. > The total equity is placed at US$29.04 billion which is on a downward trend. The data clearly points to one fact, apart from the revenue of the company, every other economic factor leading to the growth of a global company is on the downward path. Verizon is rumored to be one of the companies seen as a potential buyer of Yahoo’s core business. The official buyer of the Yahoo’s core business will soon come to be known. Till then, speculations are rumors are all what is to believed. If you liked this article, feel free to share it !
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