Verizon sells media business for $ 5 billion ... Yahoo's name revives

Verizon, a major US telecommunications company, has officially announced that it will sell its media business, Verizon Media Group, to a fund under the investment fund Apollo Global Management. Verizon will remain a minority shareholder with a 10% stake. The total sale price is $ 5 billion.

The company after the sale will continue to be managed by current CEO Guru Gowrappan and will be named "Yahoo". Although there is no capital connection with Yahoo Japan in Japan, a company called Yahoo will be revived in the United States for the first time in a while.

Verizon acquired AOL for $ 4.4 billion in 2015 and Yahoo's core assets for $ 4.8 billion in 2016, integrating under the brand Oath. Since then, the Verizon Media Group and brand have changed. The group has brands such as the portal site "Yahoo" and specialized media "TechCrunch" and "Engadget", and the media they own reach a total of 900 million users per month.

Comments from each party

Verizon Media CEO Guru Gowrappan “We are very much looking forward to joining Apollo's group. Double-digit growth in the last two quarters demonstrates Verizon Media's ability to transform. Apollo's extensive experience in this industry. With strategic insights, Yahoo will continue to grow as a digital advertising platform, leveraging industry opportunities, media and years of experience. This transaction will accelerate our growth and help us grow. It will lead to long-term success. "

Apollo Private Equity Personor Reed Rayman "We are thrilled to have the opportunity to unlock the endless potential of Yahoo and its brands. We have great respect and admiration for their growth over the past few years. I am very much looking forward to opening up a new era for Yahoo with Guru and his partner Verizon. "

David Sambur, Senior Partner, Co-Private Equity Head, Apollo "We believe in Yahoo's growth prospects and the macro tailwind of digital media, advertising technology and consumer internet platforms. Apollo is a technology and media company. With a long history of investing in, we look forward to leveraging our experience to drive Yahoo's growth. "

Verizon CEO Hans Vestberg “Verizon Media has undergone significant business transformation over the last two and a half years, with enormous growth potential, while the next growth will require a lot of investment and appropriate resources. Needed. Apollo has suggested the strongest vision and strategy Verizon Media should take next. I'm confident that Yahoo will fly big in the new environment. "