Verizon has successfully completed the deal to acquire Yahoo for $4.48 billion.
The American telecoms giant is looking to combine its latest acquisition,Yahoo with its AOL asset into a subsidiary called Oath. Oath, which houses more than 50 media and technology brands, is set to be led by Tim Armstrong who was the CEO of AOL before this.
This new development, however, sees the resignation of CEO of Yahoo, Marissa Mayer, who recently received a $23 million ‘golden parachute’ for her work there. Marissa Mayer was the CEO of Yahoo from 2012.
According to recent filings with the Securities and Exchange Commission, Mayer owned about 4.5 million shares of Yahoo, including options and restricted stock units so with that, she’s walking away with nearly $260 million.
Yahoo, meanwhile, gets to keep its remaining business which consists of its stake in the Chinese e-commerce giant Alibaba and its partnership in Yahoo Japan. They'll continue to exist as a separate company renamed as 'Altaba Inc', effective June 16. Altaba’s CEO is Thomas McInerney, who was the CFO of Barry Driller’s IAC. The company has also moved its headquarters to New York City.
All but five of Altaba’s board of directors will step down upon the conclusion of the deal, namely Eddy Hartenstein, David Filo, Jane Shaw, Richard Hill, Maynard Webb and of course, Marissa Mayer.
Verizon plans to extend its reach to more customers with this recent move.
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