...and help YHOO obtain funds for a huge stock buy back, imo.
This, finally, is the "boatloads."
MSFT's shares will probably be preferred and MSFT or proxies will take seats on the BOD.
And: As part of the transaction MSFT will imo sign a very lucrative patent license with YHOO, so MSFT is in compliance when YHOO, MSFT, and AOL begin their shared display ad marketplace next month.
This is the suprise element that will send YHOO much higher than expected.
This imo was always part of the search deal.
Certain milestones had to be hit, and certain patent issues litigated / arbitrated...before we reached this point. But the dance we are going through now was planned in 2008.
Other parties may participate in a small way. Maybe MSFT buys 15%, and a consortium of P/E funds buy another 5% of YHOO.
But I think the funds participation is mostly about providing an independent valuation of YHOO to satisfy government regulators...so that MSFT and YHOO don't use a nontaxable MSFT investment at an inflated price to hide a taxable payment for patent licensing.
MSFT buys into YHOO at premium. YHOO gets tax free cash.
MSFT or proxies get BOD seats and de facto control.
Yah! I'd say there is some smoke. Good herb hey? Looks more likely that shareholders will once again be bagholders after the money raised is used to buy back shares so that control is in the yanggang hands and alibaba goes away. Then yhoo core slowly disappears while yang spends years living high on your money. My opinion anyway.