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Fenwick Advises Alibaba on Complex Intellectual Property Issues in its $7.1 Billion Yahoo! Deal

June 19, 2012

Fenwick & West partner David Hayes advised China-based Alibaba in complex IP issues related to its recently announced share buyback agreement with Yahoo!. Under the terms of the transaction, Yahoo! will receive $6.3 billion in cash and up to $800 million in new Alibaba stock in exchange for its stake in Alibaba, for which Yahoo! paid $1 billion in 2005.

In addition to the share repurchase, the companies also agreed to amend their existing technology and intellectual property licensing agreement. Among other things, this amendment will result in Yahoo! granting Alibaba a transitional license to continue to operate Yahoo! China under the Yahoo!! brand. Details of the transaction are available on Alibaba Group website: Alibaba Closes US$7.6 Billion Share Repurchase and Restructuringof Yahoo! Relationship​.​