Daily Mail could be looking to buy Yahoo, the US internet company, as it was revealed talks are taking place between the newspaper’s owner and other parties.
The Daily Mail and General Trust (DMGT) – which is Daily Mail’s parent company – admitted approaching private equity firms to discuss a purchase, according to The Wall Street Journal.
Yahoo has been struggling for some time, with shareholders pressuring the board to turn things around, after shares have fallen approximately 30 per cent since the end of 2014. Yahoo currently has a market value of £27bn.
Marissa Mayer, chief executive of Yahoo, announced in February that the company’s global workforce would be reduced by 15 per cent, equating to 1,700 employees losing their job. She also said that the company would look to sell, setting a deadline of 18 April for interested parties to submit their bids.
A spokesperson for DMGT said: “Given the success of Dailymail.com and Elite Daily, we have been in discussions with a number of parties who are potential bidders. Discussions are at a very early stage and there is no certainty that any transaction will take place.”
Although Yahoo makes a loss, it still manages to draw in a very substantial web audience, primarily in America. Daily Mail has experienced most of its digital growth in America – after its revenues increased by two thirds in the final three months of 2015 – and this suggests it could be a very beneficial deal for the newspaper.