Yahoo buys US$1 billion stake in Alibaba (2005-8-11, China Daily): $1 billion for 40% stake of Alibaba Group (parent company of Alibaba, Taobao and Alipay). Taotao and Alipay is Chinese equivalent of eBay and Paypal, repectively.
Yahoo sells direct stake in Alibaba.com (cnet, 2009-9-14). Quote:
Yahoo has sold 1 percent of its stake in the Chinese-based business-to-business trading site Alibaba.com, the company said on Monday. Reuters first reported on the story.
In November 2007, Yahoo invested approximately $100 million in Alibaba.com when it went public on the Hong Kong Exchange. Writing in an e-mail, a company representative said that Yahoo’s “sale of its shares in Alibaba.com is expected to generate pre-tax proceeds of approximately $150 million.”
According to Yahoo, it maintains approximately 40 percent interest in the Alibaba Group. “Alibaba Group owns approximately 70 percent of Alibaba.com,” Yahoo wrote in the e-mail, “and as such, Yahoo continues to own an approximately 28 percent indirect interest in Alibaba.com.”
1% of Alibaba.com (1688.HK) = $150 m
28% of Alibaba.com = $150 m * 28 = $4,200 m = $4.2 billion