Verizon Advances to the Next Stage of Yahoo Bidding

Verizon is all likely to be on the second stage of bidding for core web assets of Yahoo, different reports have cited unnamed sources.

Verizon offer has been submitted with advice from investment banks LionTree, Guggenheim Partners and Allen & Company. The U.S. telecom giant will face strong competition from other companies, including private equity firms in the second stage of bidding.

The bidding has attracted a wide range of potential buyers ranging from a Japanese online retailer Rakuten to Yellow Pages with backing from AT&T.

Some of the private equity firms that submitted the first round bids are TPG Capital, Apax Partners, Apollo Global Management and Warburg Pincus. However, some of the other names in the run like Comcast and Time Inc have opted to stay out of the actual bidding.

Yahoo will decide on the potential value of the proposed structures in different bids. The auction is likely to be concluded by June but timing may be extended.

Yahoo, after failed efforts for a turn around and under pressure from its shareholders decided to launch an auction process for sale or spin-off of its core web business properties.

Verizon which also acquired AOL for $4.4 billion last year is one of the strongest candidates.

 

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