Yahoo is facing mounting pressure from shareholders who are threatening to overthrow the company’s board.
By Wendy Lee
Updated: March 3, 2016 – 8:19pm
Yahoo Chief Financial Officer Ken Goldman on Thursday reassured investors that the struggling company is serious about exploring all of its options, including a sale.
His remarks come as some Yahoo shareholders complain the sale process isn’t moving fast enough. Goldman said the committee of three independent directors tasked with examining potential deals has been working quickly.
“It’s more active than anyone can possibly believe,” Goldman said at a Morgan Stanley conference in San Francisco.
But some people familiar with the Sunnyvale company’s business remain skeptical.
A former Yahoo executive said it’s baffling why the company has taken so long to provide interested buyers with a data room where they can view confidential information about Yahoo.
“You have to start to wonder what they are waiting for,” said the former executive, who declined to be named because of his close ties with the company. “If I were them, I would sell the company as fast as I could. The business is only getting worse.”
Yahoo, an Internet search pioneer with more than 1 billion monthly active users, has struggled over the years to regain its relevance. Last month, the company announced plans to cut its workforce by 15 percent, nearly 1,600 jobs.
The number of visitors to Yahoo sites declined 7 percent in January, and time spent on the sites dropped 4 percent from a year earlier, said Neil Doshi, an analyst with Mizuho Securities USA Inc., citing data from research firm comScore.
“We expect Yahoo will be more vulnerable a year from now to losing users and ultimately ad dollars to larger platforms like Facebook, Google and high-profile startups like Snapchat and Pinterest,” Doshi wrote in a note to investors.
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