Yahoo board forms committee to review options

New York: Yahoo's board has created a committee of independent directors and hired a trio of economic advisers in its long-running bid to redefine itself.

Shares rose more than 3 per cent before the opening bell today.

Yahoo Inc is under extraordinary pressure from big shareholders who are threating a proxy fight with the company.

It cut 15 per cent of its staff earlier this month with investors pushing for a sale of Yahoo's core Internet operations after 3 1/2 years of declining revenue under CEO Marissa Mayer.

The company today said that it had hired Goldman Sachs, JP Morgan and PJT Partners Inc as advisers to the new committee tasked with engaging interested strategic and financial parties.

Mayer said in a written statement today that splitting off Yahoo's lucrative stake in China's Alibaba is "essential" to boost shareholder value.