California: Yahoo Inc on Monday has announced that that it would rename itself as Altaba Inc as Chief Executive Officer Marissa Mayer would step down from the board after the closing of its deal with Verizon Communications Inc.
Basically, Verizon is paying $4.8 billion solely for Yahoo’s core internet business, leaving behind Yahoo’s 15% of Chinese retail giant Alibaba and a part of Yahoo Japan, which is a joint venture with Softbank. Those assets will continue to exist in a separate company that will now operate under the catchy Altaba name.
Five other Yahoo directors would also resign after the deal closes, Yahoo said in a regulatory filing on Monday. The remaining directors will govern Altaba, a holding company whose primary assets will be a 15 percent stake in Chinese e-commerce company Alibaba Group Holding Ltd and 35.5 percent stake in Yahoo Japan.
Founded by Stanford grad students Jerry Yang and David Filo in 1994, ‘Yahoo’ was a very familiar site for the all the web users across the globe. However, it’s possible that Verizon may continue to use the Yahoo brand for some of the consumer online services that it will acquire in the deal.
The new company also named Eric Brandt as the Chairman of the board with effect from January 9.