Yahoo Reportedly Reconsider Sale Of Web Business Instead Of Spinoff

(RTTNews) - Yahoo! Inc. (YHOO) is considering an outright sale of its business, the Bloomberg reported. Last month, Yahoo executives put forward a plan to spin off its main Internet business. Now, that idea may be abandoned in favor of a sale, the report said.

The company may need a new plan in the face of an expected proxy fight by an activist investor, said the people, who asked not to identified because a final decision hasn't been made.

Yahoo still hasn't concluded that it has to sell and hasn't hired a bank to run an official process or contacted potential buyers, report noted.

On December 9, Internet giant said its board has unanimously decided to suspend the spin off the its remaining stake in Alibaba Group Holding Limited (BABA). In order to best drive long term value of shareholders, the Board will now evaluate alternative transaction structures to separate the Alibaba stake.

The December 9 announcement was a strategic move by Chief Executive Officer Marissa Mayer to buy time to shape Yahoo into a more sellable asset, including cutting costs, the report specified.