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article imageYahoo to spin off everything except its stake in Alibaba

By Owen Weldon     Dec 10, 2015 in Business
Yahoo has changed its mind and will not spin off its stake in Alibaba. Instead, Yahoo will spin off its core Internet business.
Some of the names Yahoo will be spinning off include Flickr and Tumblr.
On Wednesday, Yahoo released a statement saying it will package all of its other assets into a new publicly traded company.
The decision to not spin off shares in Alibaba came amid pressure from investors concerned about the tax risks associated with the deal.
Analysts say the spin off would facilitate an acquisition. Verizon Communications may be interested in buying Yahoo. Exeuctives at the company spoke earlier this week, and they talked openly about buying Yahoo. Other potential buyers may include IAC Interactive, AT&T or a private equity firm.
Bob Peck, an analyst at SunTrust, said the company thinks there will be many potential buyers for Yahoo's core, including large media companies, Internet companies and telcos. Peck added the core business could be worth around $6 billion.
Yahoo has been in trouble for years and the company has had a number of CEOs who have tried to turn things around. The current CEO, Marissa Mayer, has been leading Yahoo for three years, but the company's revenue has remained flat.
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