Alibaba secretly launches early warning plan to deal with Yahoo to marry

New opportunities for survival, the recent changes will be inevitable. After the industry has just thrown out Microsoft will be 20 billion U.S. dollars to buy Yahoo search business news, there are new changes today.

According to overseas media reports, the former CEO of AOL is in talks with private equity investors, sovereign wealth funds, and is believed to be able to buy about 20 to 22 dollars per share of Yahoo. Yahoo's shares rose 8.01% per cent on the day after the news was revealed.

In Yahoo's earnings, about half of the market capitalisation of Yahoo Japan and Yahoo in Alibaba's assets, Alibaba's contribution to Yahoo market value can not be ignored. The industry has speculated that the acquisition will have a significant impact on the development of the domestic internet giant Alibaba.

　　Alibaba early warning and precaution

Shuai, vice president of Alibaba Group, said, "Yahoo is only a shareholder of Alibaba, and Yahoo will still stick to its independent development strategy for the future of Yahoo." ”

However, according to people familiar with the situation, Alibaba has been the relevant early warning, and has quietly started. When Yahoo bought Alibaba shares, the two sides had a deal that, in the case of Yahoo being acquired, Alibaba had the right to repurchase its stake from Yahoo. Alibaba is also aware of the changes in Yahoo's future acquisitions, and has hired legal experts and investment advisers to assess the potential impact of the deal on Alibaba.

Wu Yu, a partner of the former Alibaba Group CTO and a patent holder for Yahoo's original search engine technology, said the company's merger with Yahoo and China had detailed agreements, including equity, technology and branding, and that there would be no change in the three areas of cooperation.

　　Acquisitions are hard to come by

Data show that the launch of the Yahoo acquisition of Nassen Miller in 2002-2006 as the CEO of AOL, under his leadership, AOL profits record 21% annual growth rate, online advertising revenue has also been a considerable increase, he is currently with the former Fox Interactive Media President Ross Levinson and others created the venture capital fund Velocityinteractivegroup, which currently manages assets of $1.5 billion trillion.

According to people familiar with the matter, Miller would have to raise about 28 billion to 30 billion dollars if he bought the entire company. But given the risks of acquiring Yahoo shares, the reluctance of banks to lend, and the poor investment status of institutional investors, many analysts doubt that Miller will be able to raise the money.