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Yahoo ( YHOO ) stock rose Monday as British tabloid newspaper Daily Mail reportedly confirmed its interest in the Sunnyvale, Calif.-based Web portal, attracted to its news and media properties. The Daily Mail said that it is in preliminary talks with other investors to launch a bid for Yahoo, the Wall Street Journal reported Monday, confirming a previous WSJ report out Sunday. Buying Yahoo’s media operations could help the Daily Mail establish a stronger presence in the U.S., where it launched a website in 2012, the WSJ said. “Given the success of DailyMail.com and Elite Daily, we have been in discussions with a number of parties who are potential bidders,” the WSJ said it was told by a spokesperson for DailyMail.com. Discussions are said to be at a very early stage. A bid by the Daily Mail could occur through a private equity partner acquiring all of Yahoo’s U.S. operation, according to the WSJ. After that, the Daily Mail would take over Yahoo’s news and media units, which include Yahoo Finance, Yahoo Sports and Yahoo News, the report said. It’s also possible a private equity firm would acquire Yahoo and merge its media and news properties into a new company that would include the Daily Mail’s online properties, the report said. The Daily Mail has spoken with six private equity firms in regards to a bid, including General Atlantic, the WSJ said, citing an unnamed source familiar with the matter. The Daily Mail & General Trust PLC is just one of an estimated 40 groups that have expressed interest in buying Yahoo. Yahoo sent a letter to possible buyers last month, asking them to submit bids. Some buyers might be interested in all or part of Yahoo’s core Web business, while others might want Yahoo’s stakes in China e-commerce giant Alibaba Group ( BABA ) or Yahoo Japan. Yahoo pushed back the deadline for bids to April 18 from April 11, according to media reports. Verizon Communications ( VZ ) is said to be planning to bid for Yahoo’s Web business and its holdings in Yahoo Japan, according to Bloomberg. Google, the main division of Alphabet ( GOOGL ), reportedly is considering a bid for Yahoo’s core business. Time ( TIME ); Japan’s SoftBank ( SFTBY ), the majority owner of Yahoo Japan; and several private equity firms also are kicking the tires, reports Bloomberg. Yahoo has also held meetings with IAC/InterActiveCorp. ( IAC ) and CBS Corp. ( CBS ), the WSJ said. One-time potential suitors including AT&T ( T ) and Comcast ( CMCSA ) have decided against bidding, Bloomberg reported. Microsoft ( MSFT ), which failed with a hostile bid for Yahoo in 2008, also won’t bid, according to Bloomberg. Re/Code said last week that documents Yahoo provided to potential bidders predict the Web portal’s 2016 revenue will drop by close to 15% and its earnings by more than 20%. Yahoo has recently implemented layoffs and begun the process of selling itself and spinning off its hefty stake in Alibaba, and it is also in the midst of a proxy fight seeking to oust its entire board. Yahoo stock was up more than 1% in midday trading in the stock market today , near 36.50. Yahoo stock touched an eight-month high of 37.50 last week. Scalper1 News
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