They didn't cancel their SEC registration of the spin off. Likewise counsel advice is to proceed as planned and the lawyers advised that the spin off plan submitted is in accordance with the tax laws.
I am sure those tax lawyers expert reviewed the tax laws in spin off prior they gave YHOO their blessing to announce the spin off plan. To date the lawyers advice is to press on the spin off plan.
Thanks for your sharing your thoughts. Is this your own personal analysis. Are we in oversold market, if so it is good going forward.
That is why YHOO is still proceeding with the spin off plan per their lawyers counsel advice. The lawyers knew that IRS approved Mr. Malone spin off plan that is why YHOO lawyers were confident and gave the blessing to YHOO to announce the plan during Q1 conference.
I really thought yesterday YHOO will be down at least $1 today but when I saw the premarket price of YHOO then I changed my mind YHOO will close green at least 10 cents or below.
I don't think IRS can change the rule in the middle of the game for YHOO. YHOO plan should be grandfathered. I am sure YHOO group of lawyers are working with IRS as we speak.
I agree with you cspan. The course still clear YHOO is pressing on to spin off BABA shares to YHOO shareholders and it will be based on counsel advice. Not sure though if they can get 100% tax free spin off but they will use other option if necessary.
Proceeding with the spin off based on counsel advice YHOO mentioned it in the article. I think they should private ruling otherwise they won't announce the spin off plan tax free. In fact YHOO stated that the savings is approximately $17B at the announcement.
Sorry, I am sticking with my plan and strategy with my YHOO holdings. No change, My long-term holding still positive and yes my short-term holding is red. I am likely do selling and buying for tax purposes for my short-term account otherwise I am staying put no selling and no buying.
I am very curious about analysts revised PT once YHOO announced officially that the spin off is not tax free. I don't know I am guessing YHOO will be losing maybe $2 to $4 billions to the spin off plan. In spite of this IRS disapproval if it holds, YHOO still owns goldmine assets like the core with most having topnotch web ratings and having over 600m users and of course YHOO owns 35% stakes in YJ and 384M shares of BABA. At least the Asian assets is at least worth over $30B right now my opinion.
Sad news if IRS disapproved the spin off tax free. But I think YHOO will proceed with the spin off as planned. We have to wait and see what will be YHOO valuation the market will give YHOO. My take is that it will below $50 and probably around $40 to $50 instead of $55 to $65. And PT from analysts will be revised and I am very interested what will be PT norm.
September baby, that is why yeah baby. Yap shorts will get cooked well done if they didn't cover now.
Time to cover your puts or else you will get "cooked short well done.