The company is also set to change its name to Altaba, following numerous controversies over the past few years, which included the hack and consequential leak of over 1 billion user account details.
Co-founder David Filo, and chairman Maynard Webb will also take their bow. Eric Brantd, a former CFO at Broadcom and new Yahoo board member was on Monday named as chairman, effective immediately.
Mayer first arrived at Yahoo in 2012 after more than a decade at Google. Her tenure has been controversial, with the CEO facing a lawsuit last year that claimed she had purposely purged male employees.
Yahoo is the second early Web giant that Verizon has sought to buy after its aquisition of AOL for $4.4 billion in 2015.