Yahoo scraps Alibaba spin-off plan and explores breaking off core business

Tech company ditches plan to offload stake in Chinese e-commerce giant and will consider spinning off mail, news and ad services into a new business

Yahoo is scrapping its original plan to spin off its multibillion-dollar stake in China's Alibaba and will instead explore breaking off the rest of its business into a new company.

The U-turn announced on Wednesday comes after Yahoo's board met last week to review the proposed Alibaba spin-off, as well as chief executive Marissa Mayer's stalled attempts to turn around the company.