Investors in Daily Mail and General Trust, the parent company of British newspaper the Daily Mail are pretty non-plussed about any potential takeover bid for US internet company Yahoo.
On Sunday evening, reports suggested that DMGT is investigating a possible bid for Yahoo, according to The Wall Street Journal, and on Monday morning, talks were confirmed, with the company saying that “discussions are at a very early stage” according to a Financial Times report.
“Given the the success of DailyMail.com and Elite Daily we have been in discussions with a number of parties who are potential bidders [for Yahoo],” a DMGT spokesperson told the FT. “Discussions are at a very early stage and that there is no certainty that any transaction will take place.”
DMGT representatives didn’t immediately respond to a request from Business Insider for confirmation of the talks.
The lukewarm confirmation of talks given to the FT doesn’t seem to have moved investors in DMGT, and at around 8:55 a.m. BST (3:55 a.m. ET) shares are trading up by just 0.07%, having gained a maximum of 0.22% so far on the day. Here’s how that looks:
Little is currently known about any potential deal, but the Wall Street Journal’s report said that DMGT is in talks with multiple private equity companies about possibly backing the bid.
Yahoo set the deadline to place bids for its core business on April 18, according to previous reports.
The Daily Mail is far from the only company in the running.
American telecoms firm Verizon is expected to place a bid for Yahoo this week, while Google is also considering making an offer, according to a report by Bloomberg. The report said that Verizon would be willing to make an offer for Yahoo’s core internet business and its stake in Yahoo Japan. Verizon values Yahoo’s core business at less than $8 billion, Bloomber said.
Magazine publisher Time and private-equity funds Bain and TPG are also thought to be interested in buying Yahoo.
Yahoo is currently struggling, with CEO Marissa Mayer’s attempts to turn the company around gaining little traction. Recently, the company put its core internet business up for sale, following pressure from activist investors to make “significant changes”.