Verizon to Make a First-Round Bid on Yahoo?

Do you... Verizon?!

[PHOTO: Noah Berger/Bloomberg via Getty Images]

[PHOTO: Noah Berger/Bloomberg via Getty Images]
Credit:
Yahoo used to end with that emphatic exclamation point. However, for the past decade, the fabled internet pioneer has been more of a question mark.

The stock has experienced more peaks and valleys than the Rockies. Confidence has been lost almost as fast as Yahoo email addresses are abandoned. And then there’s Yahoo CEO Marissa MayerEvery time she takes the stage, you have no idea if she will close a deal or completely flub her appearance.

Over the past 10 years, YHOO stock at its lowest was $11.51 per share in November 2008. Fast forward to now, and you’ll see an improvement: $36.17 per share. That would be a source of hope until you discover in November 2014, shares were $51.74 each.

And that’s why Verizon wants to drop it like it’s hot. Yahoo sucks, but there is still room for shareholders to think the corner can be turned.

barney
Possibly a long lost cousin.
Credit:

The reason may surprise you: the purple dinosaur of the web is more valuable because of what it owns, not what it is.

Verizon is interested in Yahoo’s international properties, Alibaba and the independent company Yahoo Japan. There is also the once popular Flickr and the still popular (believe it or not) Tumblr.

Verizon and its subsidiary AOL Inc. (remember them?) would really enjoy the Yahoo portfolio because Verizon’s mobile presence would go berserk. And when you are company worth $213 billion on the street, going after mobile in the U.S. and in Japan is worth whatever Yahoo can offer.

According to Reuters, Verizon CEO Lowell McAdam said in a recent television appearance that merging Yahoo’s assets with AOL assets under the leadership of AOL CEO Tim Armstrong “would be a good thing for investors.”

In other words, peace out Marissa.

First-round bids for the company’s main web assets are due April 11, a person with knowledge of the matter said last week. Also in the mix could be Google, which is also interested in purchasing Yahoo’s core business — the internet presence. Can you spell monopoly?

Forget purple. Businesses are about to get green with envy.