Thursday, December 1, 2011

New Yahoo bid ups price to $25bn

private equity firms Blackstone Group and Bain Capital have indicated that working with Alibaba to a Web portal for the full value of the previous offerings from Microsoft and other

private equity firms Blackstone Group and Bain Capital is preparing an offer for all of Yahoo with its Asian partners in a deal that could value the portal of the Internet 25 billion (£ 16 billion) , a source told Reuters on Wednesday.

The plan is in the bids submitted by consortia Microsoft introduced earlier this week, valuing the site at only $ 20 billion. Microsoft's offer was the younger of the two.

The new opportunities for the consortium that includes China's Alibaba Group and Softbank Corp. of Japan has not been finalized. China e-commerce giant Alibaba, whose main interest lies in the acquisition of 40% owned by Yahoo, is keeping its options open.

"Alibaba Group has not made a decision to be part of an offer for Yahoo whole company," said spokesman John Spelich Alibaba Group, said Wednesday.

potential supply of the entire company, in turn, the pressure on Yahoo, which was intended only to sell a 20% minority in society.

also put pressure on Microsoft, which is losing money on its Yahoo search deal in which the powers of search in the site with Bing. The easiest way is viable to have an important part of Yahoo, proprietary alternatives could slow the path to profitability

from Yahoo, which closed at $ 15.71 (10 pounds) in the New York Stock Exchange on Wednesday, gained 6.4% to 16.72 dollars in after-hours trading, valuing the company to over U.S. $ 20 billion. That puts its stock price before the bid submitted by a consortium of Microsoft, who in 2008 made a bold $ 44.6bn in cash and stock offer to take over the whole company, but was rejected.


Despite an offer for all of Yahoo is not yet on the table, the last turn the heat on Yahoo, which received at least two bids for a minority stake in the company according people familiar with the subject. An offer from a consortium of Silver Lake and Microsoft, and TPG Capital. Silver Lake, TPG and Microsoft declined to comment.

Meanwhile, private equity firm Thomas H. Lee Partners is interested in buying Yahoo's operations in the United States. Providence Equity Partners and Hellman & Friedman are also interested in a potential deal with Yahoo. Thomas H Lee, Providence and Hellman & Friedman declined to comment on the situation.
Bain and Blackstone are accustomed to working together for joint investments. In 2008, in association with NBC Universal, which bought the Weather Channel joined in 2006 as a purchase of $ 6 billion of Michaels Stores, the largest U.S. retailer arts and crafts



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