Yahoo announces Alibaba VWAP, price for USD3.0 billion share buyback


Before it rebrands to Altaba on Friday, Yahoo! Inc., has announced Alibaba VWAP and prices payable for shares in connection with its previously announced modified “Dutch auction” for its share buyback programme.

The tender is for cash up to $3,000,000,000 of shares of its common stock at prices equal to (A) the Alibaba VWAP, multiplied by (B) multiples specified by tendering stockholders not greater than 0.420 nor less than 0.370, less applicable withholding taxes and without interest. The tender offer is scheduled to expire on June 16, 2017 at 11:59 p.m., New York City time, unless the tender offer is extended or withdrawn by the Company.

Yahoo said that unless the tender offer is extended, the Alibaba VWAP to be used in determining the purchase price to be paid in the tender offer is equal to $137.1017, which was the daily volume-weighted average price for an American Depositary Share of Alibaba Group Holding Limited, on the New York Stock Exchange, on June 14, 2017, the second trading day prior to the expiration date.

Based on the Alibaba VWAP, the prices payable for shares pursuant to the tender offer for each multiple within the Company’s specified range.

Yahoo has finalised its sale to Verizon Communications for USD4 billion. The company will be rebranding to its new name Altaba Inc., next tomorrow when Verizon will be in total control of the company.

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