Alibaba Group Holding Ltd, whose accounting practices are under investigation by U.S. regulators, is a difficult company for the United States to understand, Executive Chairman Jack Ma said in an interview to Chinese media on Friday.
The U.S. Securities and Exchange Commission (SEC) launched a probe earlier this year into the Chinese e-commerce firm's accounting practices to determine whether they violated federal laws. Questions about Alibaba's growth rate and its relations with affiliated companies have dogged the firm for years.
In the interview with China's official Securities Times, Ma said the investigation does not mean Alibaba has problems but that the SEC is just performing its duties.
"Alibaba's business model does not have any references in the U.S., so it's not just a matter of one or two days for the U.S. to understand Alibaba's business model," Ma was quoted as saying.
The SEC focused on the accounting for affiliated logistics firm Cainiao Network, accounting practices applicable to related-party transactions in general, and operating data from its annual "Singles' Day" sale, according to Alibaba's annual report filed last week.
It was not immediately clear what prompted the SEC investigation. Alibaba said in May the SEC advised it the investigation should not be seen as an indication the company had violated federal securities laws.
part 2 to follow
AT&T's interest in Yahoo could hamper private equity hopes, Bloomberg says AT&T's (T) interest in acquiring Yahoo (YHOO) may provide a headwind to private equity firms interested in buying Yahoo, says Bloomberg. Private equity firms rely heavily on debt to finance buyouts and would find difficulty competing with a well capitalized bidder like AT&T and still generate the types of returns that investors expect, added Bloomberg, citing people familiar with the situation. Reference Link
Colonel ! You're on the wrong board...YHOO is a $37 stock that is up 35 cents...not sure how a 1% move is close to a double...I've been trading for over 40 yrs. daytrading for 20yrs. I'm still here. Let me know when you can say the same
While it is unclear as to what the exact value may be for the core, each billion of bidding is only ~$1 per share. The bulk of the value creation remains in tax efficiently monetizing the ~$40 billion Alibaba (BABA, $82.00, Buy) and Yahoo! Japan assets after the core sale. We believe there are scenarios where there may be no capital gains taxes on the Alibaba and Yahoo Japan stakes (please see our note). As such, even if Yahoo were simply “give away” the Core for free, it would create substantial value for shareholders. While we point this out symbolically, we think that the company can get valuations from $4-$8 billion and our point is that whether it is $6 billion or $8 billion, the price that the company gets for Yahoo Core is less important than the potential value that would be unlocked by unencumbering the investment securities.
Started Tues. PM and goes thru Thursday...but doubt anything from there to me. I expect a Monday premkt announcement when it comes....not this Monday but possible.
Becky should have interviewed you months ago. Leave it to the IRS to chase away our jobs and screw with the producers in this world.
good job pebble....I do the same with just out of the money weekly puts of stocks I wouldn't mind owning. Rarely get filled and it becomes a nice little income stream.
More call selling. Option activity seems to be picking up a bit.
$YHOO 40 Calls SELLING Activity expiring on 19th Aug, Vol 2000
not necessarily...option market makers take the other side of trades and look to make money from the spread. They get as delta neutral as they can thru other option and stock offsets. It takes VERY DEEP pockets.
$YHOO 35 Puts SELLING Activity expiring on 17th Jun, Vol 5302
For those of you not familiar with options...that a bullish bet.
Verizon CEO says won't go after Hollywood studio, cable group, Fortune reports Verizon (VZ) CEO Lowell McAdam said the company's upgrade to 5G technology may permit for an expansion of its FiOS home Internet and cable TV service to be offered nationwide, according to Fortune, citing his comments at the J.P. Morgan Global Technology, Media, and Telecom Conference. McAdam declined to discuss the latest on its bid for Yahoo's (YHOO) core internet business, but tried to put a lid on speculation that Verizon might go after a major Hollywood studio or cable network group, saying, "We're not doing that, I don't think we need to do that," according to the report.