sitemaps.org/schemas/sitemap/0.9/sitemap.xsd BrandArena: Verizon offloads media assets AOL and Yahoo to Apollo for $5 billion

Tuesday, 4 May 2021

Verizon offloads media assets AOL and Yahoo to Apollo for $5 billion


Verizon Communications said on Monday it has agreed to sell its media assets, that includes Yahoo and AOL, to Apollo Global Management Inc for $5 billion, as it channels its focus on 5G. Under the terms of the deal, Verizon will receive $4.25 billion in cash, preferred interests of $750 million and retain a 10 per cent stake in Verizon Media.

Verizon has struggled to grow its media business, declaring them nearly worthless with a $4.6 billion write-down in 2018. Bigger players such as Facebook and Google have swept the digital advertising market.

The business will be called Yahoo when the deal closes, which is expected in the second half of 2021, the company said.

Verizon said the corporate carveout of Verizon Media will allow the business "to aggressively pursue growth areas and stands to benefit its employees, advertisers, publishing partners and nearly 900 million monthly active users worldwide".

Verizon Media's portfolio includes online brands such as TechCrunch, Makers, Ryot, and Flurry, according to its website.

In 2017, Verizon bought Yahoo's Internet properties for about $4.48 billion, betting its 1 billion-plus users would be a fertile audience for online ads. It acquired email service AOL for $4.4 billion in 2015.

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