Yahoo Inc. is considering cutting its 40 percent stake in Alibaba Group Holding Ltd. to about 15 percent in a deal that would also see it sell off its Yahoo Japan Corp. stake, two sources briefed on the matter said.
The Yahoo board was scheduled to meet Thursday to consider the transaction, according to the sources, who asked to remain anonymous because the deliberations are private.
The deal, which may let Alibaba repurchase the stake in a tax-free manner, values the Asian assets at about $14 a Yahoo share, or more than $17 billion, one of the sources said. Yahoo also would sell all of its stake in Yahoo Japan Corp. in the deal, this source said.