© Copyright Acquisition International 2026 - All Rights Reserved.

Article Image - Yahoo’s Tax Free Plans for Alibaba Stake
Posted 21st May 2015

Yahoo’s Tax Free Plans for Alibaba Stake

Shares in the new company would be distributed among shareholders and the transaction could save as much as $16 billion

Mouse Scroll AnimationScroll to keep reading

Let us help promote your business to a wider following.

Yahoo’s Tax Free Plans for Alibaba Stake
Image

Yahoo’s Tax Free Plans for Alibaba Stake

Shares in the new company would be distributed among shareholders and the transaction could save as much as $16 billion

Investors of Yahoo may have casue to worry about the plans the company has to withdrawm it’s stake in Alibaba Group Holding Ltd. in the realisation of new scrutiny by the Internal Revenue Service in regards to tax-free spinoffs, tax lawyers have said.

January saw Yahoo announce a plan to remove it’s share in Alibaba, a stake valued at the time at $40 billion. Typically a U.S. company would see about 35% federal tax bill when it sells stock in another company for cash.

The deal is being structured as a complex spinoff, putting Yahoo’s Alibaba stake into a new company that will own an online service for setting up and running small enterprises. The shares in the new company would be distriubuted amongst it’s existing sharehodlers, which the company hopes will ensure tax-free treatment for the deal. Overall the transaction could save up to $16 billion.

 

Categories: Finance


You Might Also Like
Read Full PostRead - Eye Icon
Praxisifm Acquires Nerine
M&A
27/06/2018Praxisifm Acquires Nerine

It is the fourth acquisition in two years for the Channel Islands-based Group which has seen it grow from employing 300 staff in the summer of 2017 to 520 following completion of the acquisition.

Read Full PostRead - Eye Icon
Getting Your Business Transactions Ready: Implementing a Legal Risk Framework
Finance
04/11/2024Getting Your Business Transactions Ready: Implementing a Legal Risk Framework

As a business leader preparing for a potential acquisition or sale, it’s crucial to ensure your company is transaction-ready.

Read Full PostRead - Eye Icon
MacBook Security: How to Securely Use Company Data on a MacBook?
Innovation
15/01/2024MacBook Security: How to Securely Use Company Data on a MacBook?

Online safety is a big concern for everyone – employees, and companies. Hackers are always on the lookout for vulnerabilities that can make their work easier by helping them access a computer. Here are the best ways you can prevent it from happening.

Read Full PostRead - Eye Icon
What Are the Key Features of a Debit Card?
Finance
01/08/2023What Are the Key Features of a Debit Card?

When contemplating the question, "how old do you have to be to have a debit card?" one might also ponder the various features accompanying this financial tool. Debit cards, a ubiquitous component of modern personal finance, come with several characteristics th

Read Full PostRead - Eye Icon
Navigating the Intangible Asset Landscape in Cross-Border Transactions
Finance
30/06/2025Navigating the Intangible Asset Landscape in Cross-Border Transactions

In today’s global economy, intangible assets such as intellectual property (IP), brand equity, proprietary technology and customer relationships are becoming critical components of corporate value.

Read Full PostRead - Eye Icon
Deal of the Year 2014: Yes Bank Raises US$500m through QIP
Finance
02/03/2015Deal of the Year 2014: Yes Bank Raises US$500m through QIP

In May 2014, YES BANK, India’s fourth largest private sector bank, successfully closed a qualified institutions placement to raise US$500m. We take a closer look at this major deal

Read Full PostRead - Eye Icon
A Market Leader in Essential Import and Export Support: Strong & Herd LLP
News
14/12/2023A Market Leader in Essential Import and Export Support: Strong & Herd LLP

Established in 1995, Strong & Herd LLP assist businesses with import and export support in international trade and customs compliance.

Read Full PostRead - Eye Icon
The International Pillar for Geo-Information
News
08/08/2023The International Pillar for Geo-Information

Through specialising in geo-information services, GEO-MIK has redefined what it means to portray an unrelenting sense of brilliance. Its

Read Full PostRead - Eye Icon
CIO of the Month
Innovation
02/02/2016CIO of the Month

ZenithOptimedia is a leading global media services network with over 7,500 people working in 262 offices across 74 countries.



Our Trusted Brands

Acquisition International is a flagship brand of AI Global Media. AI Global Media is a B2B enterprise and are committed to creating engaging content allowing businesses to market their services to a larger global audience. We have a number of unique brands, each of which serves a specific industry or region. Each brand covers the latest news in its sector and publishes a digital magazine and newsletter which is read by a global audience.

Arrow