As of right now, Yahoo’s [stckqut]YHOO[/stckqut] 15% stake of Alibaba is worth almost $35 billion. The conventional thought is that once Yahoo spins off its stake, Alibaba will then one day buy it back. If not, there would essentially be two publicly-traded forms of Alibaba with a very similar number of shares available to the market. But here’s the thing, if you subtract Yahoo’s Alibaba stake and its cash & equivalents, the remaining value of Yahoo’s core business is zero dollars.
Source: Why Alibaba Should Buy Yahoo, Right Now – Yahoo! Inc. (NASDAQ:YHOO) | Seeking Alpha