Verizon to sell Yahoo, AOL for $5bn to private equity firm

SourceKuwait Times
SectorFinancial Markets
CountryKuwait

WASHINGTON: Verizon announced yesterday it was selling faded Internet stars Yahoo and AOL to a private equity firm for $5 billion, ending the media ambitions of the telecoms giant. The deal with Apollo Global Management also includes the entire Verizon Media unit, including the advertising tech operations of the two brands.

Verizon will retain a 10 percent stake in the company, which will continue to be led by chief executive Guru Gowrappan, the company said in a statement. Verizon acquired Yahoo in 2017 for some $4.5 billion, ending the run for one of the storied brands of the early internet.

It merged Yahoo into its division with AOL, another star of the early Internet era, which Verizon acquired in 2015.

Both AOL and Yahoo lost traction – and lofty market valuations – as Internet users shifted to newer platforms such as Google and Facebook. “We are thrilled to help unlock the tremendous potential of Yahoo and its unparalleled collection of brands,” said...read more...