US: Another one bites the dust: end of Yahoo

Following what many annalists predicted, Verizon is buying Yahoo for $4.83 billion, marking the end of an era for a company that once defined the internet.

Yahoo Inc., based in Sunnyvale, California, is parting with its email service and various still-popular websites devoted to news, finance and sports as well as its advertising tools after falling under pressure from shareholders fed up with a steep downturn in the company’s revenue during the past eight years.

Once the sale is completed early next year, Yahoo will become a holding company for its two stakes in Alibaba Group and Yahoo Japan. Those investments, which were made more than a decade ago, are now worth more than $40 billion before taxes, making them by far the most valuable pieces of Yahoo. The holding company will drop the Yahoo name and adopt a new identify after Verizon takes control of the operating business.

Yahoo still has a patent portfolio that it intends to sell, and about $7.7 billion in cash, however, Verizon is buying Yahoo’s real estate, along with the online operations.

Here is a link from The Wall Street Journal chronicling Yahoo’s stock prices over the years.

Full Content: Chicago Tribune

Want more news? Subscribe to CPI’s free daily newsletter for more headlines and updates on antitrust developments around the world.