Hasta La Gadget!

Anyone who’s been holding on to Yahoo shares through thick and thin is about to reap the rewards of that patience. As the company promised, it’s starting to sell back half its stake in Alibaba, closing the first stage of the deal with the equivalent of $7.6 billion in pure revenue. The struggling search and content firm ‘only’ pockets a net $4.3 billion after taxes and other overhead costs, but it won’t even see that much in its bank account: it’s purposefully sending $3.65 billion of that money to shareholders, both to inspire new confidence and (unofficially) to head off activist investors like Dan Loeb that might otherwise want a coup d’état. If share owners plan on using the second stage of the sale to fund a vacation to Maui, though, they’ll need to wait. Yahoo’s deal prevents it from selling half of its remaining 23 percent stake unless Alibaba files for an initial public offering, and there’s no guarantee that investors will see another dime of the proceeds.

Continue reading Yahoo starts selling half of its Alibaba stake as promised, sends $3.65 billion to giddy shareholders

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Yahoo starts selling half of its Alibaba stake as promised, sends $3.65 billion to giddy shareholders originally appeared on Engadget on Wed, 19 Sep 2012 10:26:00 EDT. Please see our terms for use of feeds.

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More official details are emerging from Beats Electronics’ acquisition of MOG, and they paint a considerably messier picture of the deal than we saw just a day ago. HTC (which has a big stake in Beats) has confirmed that the move into streaming music was worth $14 million — not a whole lot considering that MOG had raised $33 million through its entire independent lifetime. The low price might come as the result of Beats being very surgical with its deal. The Jimmy Iovine- and Dr. Dre-founded outfit is taking control of the core audio service as a separately-managed company, while the ad and music blog components are mostly left untouched. MOG’s loss of independence is coming on a very ignominious note as a result, but it could be good news for subscribers anxious about the service’s future as well as HTC phone owners wondering just where Sense UI’s Beats integration might go next.

Beats buyout of MOG worth $14 million, splits company not-so-neatly into two originally appeared on Engadget on Tue, 03 Jul 2012 16:39:00 EDT. Please see our terms for use of feeds.

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