Reports have said that yahoo is close to investing millions of dollars in Snapchat, a mobile messaging service that allows users to send images and videos that “disappear” seconds after being viewed.
The company, which may be valued at about $10bn (£6.2bn) and was created by a group of students in Stanford university in 2011, has, in recent years, rejected a 3bn takeover offer from Facebook and other tech behemoth including Tansent groups and China’s Alibaba.
However, according to the wall street journal, £20m may be invested in Snapchat’s next funding round by yahoo after cashing in from its 40 percent stake in e – commerce giants Alibaba, which was bough in 2005 for about $1bn, and part was sold during last month’s initial public offering, earning more than $9bn before taxes.
Ever since chief executive, Marissa Maver joined in 2012, yahoo has been on an acquisition spree. She has overseen more than two dozen deals aimed at turning the company around, including the acquisition of mobile chat application Messageme and blogging service Tumblr for about $1bn last year.