Apr 12, 2016 04:31 AM EDT

Yahoo Bid By Daily Mail of U.K. Exposes Its U.S. Ambitions

A Wall Street Journal report said that the parent company of the Daily Mail is discussing with private-equity firms regarding a potential bid for Yahoo! Inc. The bid could be in one or two forms, according to the WSJ.

The first bid could be in the form of a private-equity partnership in which the parent company would buy the main web business of Yahoo, while the Daily Mail will take over its media and news properties.

In the second bid, a private-equity firm will buy the internet business of the search giant and then form a new company by combining Yahoo's media and news properties with the online operations of the Daily Mail.

If the U.K. firm's offer is accepted by the Sunnyvale, CA-based company, it would enable the news conglomerate to make its U.S. expansion bigger.

According to Colin Gillis, a BGC Financial analyst, acquiring portals such as that of the search giant will provide instant traffic, content distribution platforms and advertising technology that it needs to greatly multiply its expansion ambitions in the United States.

Gillis said "you have a more global platform. One of the problems (with Yahoo) is that they have a lot of traffic, but they don't own much content. They're the front door."

On its part, Yahoo said that it would consider all strategic alternatives, including the sale of its main internet operations. This is after the plan of spinning off its stake with Alibaba Group Holding Ltd., the giant Chinese e-commerce company, was shelved.

The search giant has previously announced that it is moving its bid deadline for all interested buyers on April 18.

News from Bloomberg on April 8 indicated that Verizon Communications Inc is also planning to bid on Yahoo's Web business. In order to sweeten the deal, it is willing to purchase Yahoo Japan Corp. as well, according to some people who have knowledge about the matter.

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