It’s been a great year of returns for Yahoo’s investments. On Friday, the company nabbed another windfall on its investments when its spin-out, Hortonworks, became a public company.
Yahoo retained a 17%+ stake (7,572,174 shares), according to forms filed with the SEC.
The stock is trading at about $US25 today, well above the initial $US16 IPO price and is worth $US189 million. That’s a nice $US68 million increase for Yahoo’s investment portfolio in just two days.
That doesn’t come close to the company’s major investment win this year: Alibaba. It cashed out of $US5 billion during the Alibaba IPO, and held onto another 400+ million shares, worth over $US40 billion today.
Yahoo isn’t the only enterprise investor in Hortonworks that did well with the IPO. Teradata’s 7% stake is worth about $US72 million and Hewlett-Packard’s 5% stake is worth about $US51 million. Investors Benchmark (Peter Fenton) and Index Ventures (Mike Volpi) also scored nicely with their firms’ 16% and 8% stakes respectively.
As for people, the biggest windfall went to CEO Robert Bearden, who joined the company in 2012. He has a nearly 6% stake, worth about $US60 million today.
It’s unclear how well any of the founders did, including founding CEO Eric Baldeschwieler. He became CTO after Bearden was installed and had left by August, 2013. The company disclosed in an earlier filing that he had about 3.4 million shares, but he was not to be found in later regulatory forms at all, so he’s probably sold enough shares to take him below the 5% ownership threshhold. (We’ve reached out to him and asked.) If he still had that full stake, it would be worth nearly $US85 million.
None of the other Hortonworks founders were listed as 5% or more shareholders. But the engineering team still looked extremely happy on IPO day: