Yahoo sale of core assets could see shares jump 35%: Barron's

Increased shareholder pressure on Yahoo Inc to sell its core Internet business could also lead to sales of its stakes in Chinese e-commerce company Alibaba and Yahoo Japan Corp, according to the latest edition of Barron's.

The sale of its core business, and its stakes in Alibaba and Yahoo Japan, could see Yahoo's stock price jump to USD 40 a share, an almost 35 percent gain from Friday's close of USD 29.14.

Yahoo's shares look appealing because the company's estimated asset value is nearly USD 48 a share, Barron's said.

Activist investor Starboard Value LP last week ramped up pressure on Yahoo, taking aim at Chief Executive Officer Marissa Mayer and her leadership team and raising the prospect that a proxy battle is approaching.

Starboard in a letter to the board of directors implied that Mayer and her officers needed to go, without naming her specifically.