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Question - Can someone explain the $4.5B valuation of Yahoo-Verizon deal versus the $49.46B Market cap of Yahoo! Inc. ticker on Nasdaq. Thanks.

• syntheticnature 9y ago
  Yahoo owns 15% of Alibaba, due to an investment done a long time ago. Alibaba is considered to be quite valuable -- so they are spinning off the core of the company in order to be able to behave more as the investment company they became, since they couldn't extract the Alibaba shares without paying a massive amount of capital gains tax on the increase in value.
  • csomar 9y ago
    So if someone is doing market cap of Alibaba + Yahoo based on Nasdaq calculations, he is counting Alibaba twice? (or 15% twice for this one). How do you calculate the global market cap without falling into this duplication.
    • skinnymuch 9y ago
      Oh right. Either I'm not thinking right or I'm also confused now with what you're saying. I hope someone can respond.
    • deleted 9y ago
      [deleted]