Reuters Photo Credit: Reuters

Verizon, Yahoo cut deal price to $4.48 bn

22 February, 2017

Verizon Communications Inc, the No. 1 U.S. wireless carrier, said on Tuesday it agreed to buy the core internet business of Yahoo Inc for $4.48 billion, about $350 million less than the original price.

The deal will combine Yahoo’s search, email and messenger assets as well as advertising technology tools with Verizon’s AOL unit.

Verizon had been trying to persuade Yahoo to amend the terms of the agreement to reflect the economic damage from two cyber attacks.

The closing of the deal, which was first announced in July, has been delayed as the companies assessed the financial fallout from the breaches that Yahoo disclosed last year.

The companies said on Tuesday they expect the deal to close in the second quarter.

Under the amended terms, Yahoo and Verizon will split cash liabilities related to some government investigations and third-party litigation related to the breaches.

Yahoo will continue to be responsible for liabilities from shareholder lawsuits and Securities and Exchange Commission investigations.

Verizon has been looking to mobile video and advertising for new sources of revenue outside the oversaturated wireless market.

Like this report? Sign up for our daily newsletter to get our top reports.

Leave Your Comment
Verizon may trim Yahoo deal value by up to $350 mn

Verizon may trim Yahoo deal value by up to $350 mn

Reuters 6 months ago
Verizon Communications Inc (VZ.N) is close to a revised deal to buy Yahoo Inc’s (YHOO.O) core internet business for $250 million to $350 million less...
Sale to Verizon: It ain't a bad deal for Yahoo!

Sale to Verizon: It ain’t a bad deal for Yahoo!

Shruti Jain and Keshav Sunkara 1 year ago
Concluding a long-drawn bidding process that began in April this year, Verizon Communications Inc, one of the largest telecommunications companies in the US, on July...
Verizon inks $4.83 bn deal to acquire Yahoo

Verizon inks $4.83 bn deal to acquire Yahoo

Arti Singh 1 year ago
Yahoo! Inc. has agreed to sell its core operations to US telecom giant Verizon Communications Inc. for $4.83 billion in a transaction that marks the...
No Comments

Verizon, Yahoo cut deal price to $4.48 bn

Powered by VIP