Yahoo Japan slumps to near four-month low after eAccess buy

Reuters News
Posted: Mar 27, 2014 8:45 PM

TOKYO (Reuters) - Shares in Yahoo Japan Corp slumped 10.2 percent to a near four-month low on Friday after it said it will buy mobile network operator eAccess from Japanese wireless carrier Softbank Corp for 324 billion yen ($3.17 billion).

"Yahoo is a content provider. What are they picking up spectrum for?" a Tokyo-based senior trader at a foreign bank said. "This is a very much non-core business. It doesn't make much rational sense for them."

Yahoo Japan shares were the fifth-most traded on the main board, while SoftBank, down 2.7 percent at 7,604 yen, was the most-traded. The benchmark Nikkei average was off 0.5 percent.

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($1 = 102.1350 Japanese Yen)

(Reporting by Dominic Lau; Editing by Edmund Klamann)