Yahoo has been trying to sell itself to the highest bidder, but those bids aren’t coming in as high as they had hoped. Even with CEO Marisa Mayer at the helm, Yahoo has been sinking. Marisa wants to stay on and save Yahoo, but the board of directors of the company want to sell it and get money to investors who are eager to see a pay day. Some analysts even speculate that Ms. Mayer is drawing out the selling process to prove that Yahoo could stand on its own, though in recent days she has performed a bunch of sales presentations. However, the board does still want to sell and has been taking bids ever since April of this year. They expected to receive anywhere between $4 billion and $8 billion. Unfortunately, they’ve only been receiving bids between $2 and $3 billion.
Some attribute this to the fact that the sales presentations may show less than stellar figures about Yahoo’s current status, so businesses aren’t prepared to put down a huge amount for the name that comes along with all of the strings that Yahoo has out in the world. Most people think that the primary bidder is going to be Verizon, as they seek to get into the web game and grow their company, but other legitimate prospects include TPG, Bain Capital and others. Yahoo had a first round of bidding in April, but they are now having a second round in June, probably because they were not happy with the first round. This is a big change from 2008 when Microsoft offered to buy Yahoo for $45 billion. They may be kicking themselves now for not taking that deal. As you can see, a whole lot can change in 8 short years!
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