Is The Daily Mail the Latest Bidder for Yahoo?
- Monday, April 11th, 2016
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The Daily Mail & General Trust PLC, parent company of The Daily Mail and Mail on Sunday, is reportedly exploring a bid for parts of Yahoos core business, as time runs out for companies to submit proposals to the troubled internet giant.
According to The Wall Street Journal, the Daily Mail is in talks with a number of private equity firms about the possibility of backing its bid, which could either take the form of acquiring the entirety of Yahoos core web business, with the Mail taking over its news and media properties, or, more likely, the private equity firm acquiring the core web business and merging the appropriate elements with the Mails existing online operations.
The second scenario would see the merged Yahoo and Mail units forming a new company, and would give the Mails parent company a larger equity stake than in the first scenario, as well as more autonomy from its equity partner.
At the end of March, Yahoo set a two week deadline for companies to put together legitimate proposals to acquire either its complete core web business or elements thereof, and since then there have been a wealth of rumours about potential buyers. The Mails interest joins reported bids by Time Inc, Verizon and Google, and there are doubtless many other, lower-profile bidders.
However, with Yahoos core business estimated to be worth around $8bn (£5.66bn), anyone interested in picking up the online giant better have deep pockets and, perhaps more importantly, a plan for turning around the company, which has struggled despite ambitious turnaround plans led by CEO Marissa Mayer.