Stock- Once the asset is sold, yhoo can recognize the proceeds. Remember that it can sell its shares for direct gain. I would imagine that yhoo and alibaba group have written agreement as to how any sale proceeds in your scenario would be disposed of.Not to worry- yhoo is getting its due indirectly right now as it gains entry into the asian mkts for its services through relationship with alibaba
Yhoo owns 39% of Alibaba Group. Alibaba Group owns 72% of Alibaba.com. Thus, yhoo owns approx 28% of Alibaba.com. (.39 x .72= .28) Yhoo purchased additional shares equal to 1.2% of the putstanding shares, giving it an additional 1% interest in Alibaba.com. Yhoo owns(directly thru share purchase + indirectly through alibaba group) 29% of alibaba.com. These are figure I got from Samual J. Wolff in yhoo investor relations dept. I emailed yhoo several weeks ago to clarify ownership due to all the misinformation in the media.
Fogcutr - that's what I was calculating last month. Quick question - Yahoo must have also received some cash during the IPO itself. Alibaba group raised some cash, so Yahoo must have received some of it too. Right?
Every dog has its day.. Today it's Google, tomorrow it will be Yahoo or someone else. The market is based primarily (now) on Hype. Google has been Hyped to the bubbling point and the bubble will burst like every other bubble. Take a look at Krispy Kreme's stock. People that never purchased a stock in their life or eaten a doughnut was buying Krispy Kreme, jsut like Google.