Yahoo sold half of its holdings in Alibaba for about $7.6 billion.  Yahoo received approximately US$6.3 billion in cash and US$800 million in preference shares in Alibaba Group.  Concurrent with the initial repurchase, Alibaba Group paid Yahoo a one-time cash payment of US$550 million in connection with the amendment of their existing technology and intellectual property license agreement.

After taxes, Yahoo anticipates a $4.3 billion windfall. The company plans to spend $3 billion of that buying back its stock, leaving another $1.3 billion for acquisitions or other investments.

According to the latest news Yahoo CEO Marissa Mayer is casting aside a cost-cutting specialist and bringing in software industry veteran Ken Goldman to be chief financial officer as the Internet company’s management orchestrates a potentially expensive turnaround attempt.

Source:  Press Reports