At a meeting with Yahoo’s investors last week, CEO Carol Bartz reported that the company was working to ensure that it receive fair compensation for AliBaba’s transfer of its AliPay online payment system to a private holding company owned by AliBaba CEO Jack Ma. New reports say that a deal has been reached, although no details have been made public yet.
Yahoo, which owns 43 percent of AliBaba, claimed that it was unaware of AliBaba’s decision to transfer the company to Ma, so as to be in compliance with Chinese law. AliBaba says that Yahoo had long known about the decision.
The feud between the two companies had a negative impact on Yahoo’s share prices, and threatened to undermine CEO Carol Bartz.