It"s been nearly a year since Verizon announced its intention to acquire Internet giant Yahoo in a deal valued at nearly $5B. Due to two individual breaches, the value of the offer has since been reduced, but the merger is still planned to complete in the near future.
Now we know a bit more about what Verizon plans to do with Yahoo once the merger is complete. According to a report by Business Insider, the company will take both Yahoo and AOL and merge them together into an entirely new organization that will be named Oath. While further information about what the combined companies will provide is still lacking, an AOL spokesperson did say that "In the summer of 2017, you can bet we will be launching one of the most disruptive brand companies in digital".
It"s important to note that Verizon isn"t purchasing all of Yahoo"s assets. Most notably, Yahoo has a 15% stake in retail giant Alibaba, as well a parternship with SoftBank in Japan. The remaining assets of the organization will be renamed Altaba, although it"s unclear if this is a long term plan.
There"s also still a chance that Verizon"s purchase of Yahoo will fall through. According to the report, if the deal is not finalized before April 24, both parties have the option of cancelling the deal. With news about a new company name coming out, that option seems fairly remote at this point.
Source: Business Insider