Yahoo In Talks To Buy Dailymotion Stake – Report
Yahoo could buy Dailymotion as part of its efforts to expand beyond the US
Yahoo is in talks to purchase a controlling stake in video-sharing site Dailymotion as part of its efforts to expand outside the US, according to a report.
The Wall Street Journal says that Yahoo could buy as much as 75 percent of the site, which is valued at around $300 million, with the option to buy the rest of the company in the future.
The current owner of Dailymotion is France Telecom, which bought 49 percent in 2011 before taking full control earlier this year for a grand total of €127 million.
Dailymotion takeover deal
A deal isn’t imminent and could still collapse, but if completed would be Yahoo CEO Marissa Mayer’s first major acquisition since she took over last year. She has identified overseas markets as an area of growth for the company, which currently generates 70 percent of its $5 billion revenue in the US.
Dailymotion is the 12th largest video site in the world and is particularly strong in countries such as France and Turkey. Last year it agreed a syndication deal with Yahoo to make some of its videos available on Yahoo sites.
The signs suggest that Yahoo might be on the up after years of decline, with the company posting its first revenue rise in four years.
Yahoo recently rolled out a brand new Facebook-influenced homepage for its US website, promising to offer more relevant content to users with a strong emphasis on sharing articles and interests. Mayer has also identified mobile as a priority in her efforts to revive Yahoo, stating that the company has “underinvested” in the fastest growing area of the Internet.
How much do you know about Yahoo? Try our quiz!
