The stock is -3.5% in after hours trading following Yahoo’s SEC filing saying that CEO Marissa Mayer is rethinking the company’s strategic plan. The key part: she’s also reconsidering the company’s vow to return to shareholders most of the proceeds from its $7.1B stock deal with Alibaba. Yahoo owned about 40% of the Chinese e-commerce power and agreed in May to sell about half of that back to Alibaba for $6.3B in cash and $800M in preferred stock. Yahoo said at the time that it would return “substantially all” of proceeds of the transaction, after taxes, to shareholders. Yahoo also increased its share buyback authorization by $5B. But Yahoo said today that Mayer is rethinking “our restructuring plan, our share repurchase program” and the Alibaba repayment promise.
Yahoo Shares Slide After It Warns That Investors May Not Receive Payback
What's Hot on Deadline
Latest Film News
- Ryan Kavanaugh Sued For Fraud By Relativity Investor
- Eric Zumbrunnen Dies: Spike Jonze’s Go-To Film Editor Was 52
- Michael B. Jordan, Jennifer Yuh Nelson Plot ‘A Bittersweet Life’ For Fox & 21 Laps
- UTA Signs DeWanda Wise, Star Of Spike Lee Series ‘She's Gotta Have It’
- Olivia Colman, Alice Englert, Thomas Mann Set For ‘Them That Follow’
- Is Bob Iger Fed Up With One Of Disney’s Most Vigorous Wall Street Critics?