It’s the latest signal that Yahoo is prepping for a sale.
Earlier this month, the company made changes to its employee severance plan that would help secure workers if only part of the company is sold.
Yahoo (YHOO) revealed the new plan in a regulatory filing submitted to the Securities and Exchange Commission on Thursday.
In the filing, Yahoo expanded the company’s definition of a “change of control” at the company to include a sale of “all or substantially all of the Company’s operating business.” That means employees would still get a company severance package even if a new owner buys up only part of Yahoo.
Under the company’s old plan, severance applied only if a new owner took over the whole company, Bloomberg reports.
By expanding its severance plans for a partial sale of the company, Yahoo seems to be opening the door for a deal that would put its core Internet business on the table for bidders, and leave some of the company’s Asian assets out of the equation.
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The giant Internet company has been struggling to grow for years with little success. Now first-round bidders have until Monday to weigh in with an offering.
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Verizon Communications (VZ) is looking like a likely favorite for a deal. (The communications giant nabbed AOL in a sale last June for $4.4 billion.) Other potential Yahoo buyers thought to be pursuing a bid include the British Daily Mail, Time Inc. (TIME) (Fortune’s publisher), and a few private equity firms.
