Verizon Closes Yahoo Acquisition
- Author: Zachary Reyes Jun 18, 2017,
Jun 18, 2017, 23:13
"Given the inherent changes to Marissa Mayer's role with Yahoo! resulting from the closing of the transaction, Mayer has chosen to resign". "However, I want all of you to know that I'm brimming with nostalgia, gratitude, and optimism".
Yahoo, which was once worth more than $100 billion, is a tech pioneer with content brands in categories such as sports, finance and news.
"It's mainly focused on us putting more resources toward the front end, towards the consumer side", Armstrong, who will be Oath's CEO, said on CNBC's "Squawk Box". Oath comprises more than 50 media and technology brands including TechCrunch, HuffPost, Tumblr, Engadget and flickr.
Katie Couric's status and position with Yahoo won't be impacted by Verizon's recent takeover of the Internet giant, a source told Fox News. We say appropriately because Oaths involve rather a lot of swearing, which is exactly what Yahoo has been for the last decade.
Roughly 2,100 people will lose their jobs as Verizon works to integrate its AOL brands and its newly acquired Yahoo's brands, Tim Armstrong, former chief executive of AOL, confirmed on Wednesday.
The closing of the deal, announced in July, had been delayed as the companies assessed the fallout from two data breaches that Yahoo disclosed past year.
"The acquisition of Yahoo will put Verizon in a highly competitive position as a top global mobile media company, and help accelerate our revenue stream in digital advertising".
Yahoo stock was trading at about $52.50 midday on Tuesday. Oath's core businesses will be in digital media, online advertising, services and software. As part of the severance package, she will get $23 million from Verizon.
That collection of Yahoo assets will be renamed Altaba Inc.
Following the sale, its remaining assets consist of an approximately 15% equity stake in Alibaba Group Holding Limited; an approximately 36% equity stake in Yahoo Japan Corporation; and other minor investments. Yahoo board member Thomas McInerney will become Altaba's CEO.