Yahoo Plans To Raise $1 Billion For Buying Stuff en-us Wed, 31 Dec 1969 19:00:00 -0500 Fri, 26 Dec 2014 00:21:40 -0500 Jay Yarow derpderp Wed, 20 Nov 2013 10:35:26 -0500 so they can waste more money on buying crappy startups? funny how wasteful she's been with spending, and how no one there cares about it. NASIR MEHMOOD Wed, 20 Nov 2013 03:56:33 -0500 I AM PAKISTANI custodes Tue, 19 Nov 2013 20:47:14 -0500 Might want to read that release a bit closer. The $200 million buy back is specifically allocated to shares owned by the purchaser of the Notes (3rd paragraph). The remaining $800 million can be used for whatever they want including the general repurchase of shares (4th paragraph). So, what that really means is someone holding $200 Million worth of Yahoo shares is getting REALLY worried about the stock price and has threatened to dump it on the open market. Instead, Yahoo is engineering a transaction where they substitute debt for equity (i.e. the holder sells her $200M in equity to Yahoo at current market and receives the equivalent in debt (i.e. convertible notes). As a sweetener she also gets Warrants with a strike at the current market which means she can short the hell out of Yahoo stock with impunity since if it doesn't go down (through some miracle) then she simply executes the warrants. It's a no-risk short with huge upside. Big question is who has $200M in Yahoo equity and enough pull to get this sweet deal. My guess is that person has the initials MM. jamesxxxxxxxxxxxxxxxxxxxxxxx Tue, 19 Nov 2013 19:43:26 -0500 Can somebody explain why anyone would sell shares and use the cash to buy others? That aside, who the F in their right mind would give them $1B to burn on acquisitions which have rarely turned out well?