Press release from Business Wire
Yahoo Enters into Amendment to Share Repurchase and Preference Sale Agreement with Alibaba
Tuesday, October 15, 2013
Yahoo Enters into Amendment to Share Repurchase and Preference Sale Agreement with Alibaba16:05 EDT Tuesday, October 15, 2013
SUNNYVALE, Calif. (Business Wire) -- Yahoo! Inc. (NASDAQ:YHOO) announced today that it has entered into an amendment to the share repurchase and preference sale agreement with Alibaba Group Holding Limited. The amendment reduces the maximum number of shares of Alibaba Group that Yahoo is required to sell in connection with a qualified initial public offering (IPO) of Alibaba, from 261.5 million shares to 208 million shares.
The original repurchase agreement, entered into in May 2012, provided that in the event Alibaba completed a qualified IPO, Yahoo would sell up to 261.5 million of its 523.6 million ordinary shares of Alibaba, either directly to Alibaba Group or in the qualified IPO. After an IPO, Yahoo has the right to sell its remaining shares at its discretion.
“Yahoo has always believed in the long-term potential and value of Alibaba, and we are pleased to maintain a larger stake in the company's future,” said Jacqueline D. Reses, Chief Development Officer of Yahoo and Alibaba board member. “We look forward to continued partnership with Jack, Joe and the entire Alibaba team.”
“Under its new leadership, Yahoo has made it a priority to build a good relationship with Alibaba,” said Joe Tsai, Executive Vice Chairman and board member of Alibaba, “We look forward to working with Yahoo as a supportive shareholder and partner to expand our business for future growth.”
Yahoo is focused on making the world's daily habits inspiring and entertaining. By creating highly personalized experiences for our users, we keep people connected to what matters most to them, across devices and around the world. In turn, we create value for advertisers by connecting them with the audiences that build their businesses. Yahoo is headquartered in Sunnyvale, Calif., and has offices located throughout the Americas, Asia Pacific (APAC) and the Europe, Middle East and Africa (EMEA) regions. For more information, visit the pressroom (pressroom.yahoo.net) or the company's blog (yahoo.tumblr.com).
Sara Gorman, 408-349-4040
Investor Relations, 408-349-3382