Alibaba Seeks $4 Billion in Financing for Yahoo Stake 40% Stake in Alibaba

Posted by Joachim Bartels | Dec 10, 2011 | Alibaba, China, E-Commerce, United States, Yahoo | 0 |

According to Reuters Alibaba Group is seeking up to $4 billion in debt financing, sources said on Thursday, in a deal expected to help the Chinese e-commerce giant buy back a 40 percent stake in the company owned by Yahoo Inc. For the Alibaba debt financing, banks have been asked to provide underwritten commitments of $1 billion with an expected final hold of $400 million, according to one of the sources on Thursday.

In November, Yunfeng Capital — co-founded by Alibaba’s Ma — Silver Lake and other investors completed the purchase of a 5 percent stake in Alibaba Group worth $1.6 billion.

Alibaba, as a parent company, holds a 73.12 percent stake in Hong Kong listed Alibaba.com Ltd.

Source: Press Reports

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Joachim Bartels

Joachim C Bartels is a co-founder, director, head of information resources and Editor-in-Chief of BIIA. In his capacity as Editor-in-Chief he is responsible for the selection of relevant information content concerning industry insights, trends, technological developments, standards and policies impacting BIIA members in particular and the business information industry in general.

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