Alibaba’s filing of IPO may expand finer horizons for Yahoo



Yahoo stocks are moving in the direction that many financial experts did not predict. For many of them, it is becoming difficult to see Yahoo Inc competing with  names like Facebook  and Amazon in the long run.  However the recent news of Alibaba soon moving towards its initial Public Offering (IPO) very soon as left many pondering what this will mean for Yahoo stocks. Yahoo own s about 25 % stake in Alibaba and will look to benefit from Alibaba ‘s IPO . However the true stature of the financial side of this Chinese E-Commerce website will only come to light after the documents are compiled in order to see through its Initial Public Offering. Though Alibaba  is bound to enter the big league of tech firms registered  at NASDAQ.  Many are predicting that Alibaba can easily raise about $20 Billion from the IPO.
If this kind of amount is successfully raised Yahoo will have to sell its stake in Alibaba. Yahoo Inc. may be able to bag around $10 Billion if all goes according to plan. This windfall can provide a massive boost for  not only Yahoo stocks but for the company in general . Facebook ‘s acquisition of Whatsapp Inc. not that long ago has reminded Yahoo that it too needs to continue to think out of the box and strategically grow in the longer sphere of things. Yahoo Inc. desperately needs to  use these funds efficiently as well as wisely use them for the company to compete with the best.

  • Digg
  • Del.icio.us
  • StumbleUpon
  • Reddit
  • RSS

0 comments:

Post a Comment