New Yahoo! bid in the pipeline
Third consortium reportedly preparing $25bn bid for Yahoo!
A third consortium is preparing a bid to take over Yahoo! according to Reuters.
Blackstone Group and Bain Capital are reportedly working with Alibaba Group and the Japanese Softbank Corp, on a bid that values the web giant at $25bn.
The new bid is considerably higher than two existing bids for minority stakes revealed this week, from Microsoft and Silver Lake, and TPG Capital. These bids valued Yahoo! at closer to $20bn.
The new consortium has not officially been finalized yet. Alibaba, a leader in China's e-commerce market, is understood to be involved primarily to buy back a 40% stake of its business which is currently held by Yahoo!.
Yahoo's board had only intended to sell a 20% stake in the company, but the possible new bid may put pressure on them for a complete sale. The Yahoo! board fired CEO Carol Bartz in September, and has since been conducting a strategic review of which way to take the company.
Microsoft bid $44.6bn in cash for Yahoo! in 2008, but the board rejected the deal at the time.