Yahoo Inc will spin off its 15% stake in China's Alibaba, CEO Marrisa Mayer says. Yahoo was worth about US$45bil at Tuesday's market close, including its Alibaba stake of nearly US$40bil, meaning the current Yahoo share price assigns little value to the core business - EPA Photo.
SAN FRANCISCO: Yahoo Inc plans to spin off its 15% stake in China's Alibaba Group Holding Ltd, responding to pressure to hand over to shareholders its prized e-commerce investment valued at roughly US$40bil.
Shares of Yahoo rose about 7% to US$51.45 in after-hours trading on Tuesday, following the tax-free spinoff announcement and earnings which just beat analysts forecasts even as its revenues slightly lagged estimates.
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