Yahoo! Sells Kelkoo to British Investment Fund

[Matthew Wood]

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The Yahoo! Break up Begins as twittered by Dave and confirmed by Kelkoo founder Pierre Chappaz on his blog

So Yahoo! paid $475m and sells for less than $100m

Not surprising as on the whole Kelkoo has failed to innovate since being acquired, apart from maybe the relatively recent and un-noticed Kelkoo Cashback offering.

Thoughts?

[gadget]

I don't see their rationale if they've lost so much money. I'd have thought they'd have been better to wait until the economy recovered and enabled them to realise a higher price .. unless they're skint of course.

[hirschnathan]

Interesting read FT.com / UK - Yahoo blamed on Kelkoo sale

Looks like a desperate plea for cash. It doesnt make sense, if it is profitable to sell an assest that would be worth alot more than that in the good times. Unless they realise that if they would keep it, it would become another 'miva'

[Dave@Profitistic]

Really surprised they have sold this early, and it is perhaps a useful barometer in the recent performance of this kind of business model.

As Matt says, a lack of meaningful innovation, a seeming dieappearance in terms of public profile and an influx of sector competition can't have helped.

Alternatively, maybe the original value was plain daft!