September 01, 2021 | Alan burkitt-gray
Yahoo is expected to be back as a brand today, with the expected completion of private equity group Apollo’s acquisition of the Verizon operation.
Apollo agreed to spend US $ 5 billion on the company, currently known as Verizon Media, in May 2021. The deal to buy the company, which will revert to Yahoo’s name, is due to be finalized today.
However, even hours before the planned completion, Apollo had not confirmed who would lead the company. CNBC reported a few days ago that Apollo had not told Verizon Media CEO Guru Gowrappan if he would be selected.
In May, Gowrappan said he was delighted with the new owner. “We are delighted to partner with Apollo. The last two quarters of double-digit growth have demonstrated our ability to transform our media ecosystem, ”he said.
“With Apollo’s industry expertise and strategic vision, Yahoo will be well positioned to capitalize on market opportunities, media and transaction experience and continue to grow our comprehensive digital advertising platform. This transition will help accelerate our growth for the long-term success of the company.
At the time of the deal, Apollo partner Reed Rayman said, “We look forward to working with Guru, his talented team and our partners at Verizon to accelerate Yahoo’s growth in its next chapter. “
CNBC reported that Apollo was working with Egon Zehnder, an executive search firm, to seek new executives for the company.
Verizon bought Yahoo – or Yahoo !, as it was then – in 2016 for $ 4.8 billion in cash, marking the apparent end of what 15 years earlier had been the clear leader in search and Internet messaging, before Google set up shop.
Verizon will retain a 10% stake in the new Yahoo.
The acquirer, Apollo, has become a major buyer in telecommunications, media and technology.
Just last month, Lumen Technologies announced that it would sell its historic 20-state Local Service Operator (ILEC) business to Apollo for $ 7.5 billion.
A few days earlier, the US fiber-based operator, FirstDigital Telecom, received a $ 200 million investment from Apollo.
In July, Bloomberg named Apollo as one of five private equity firms interested in buying T-Mobile Netherlands from Deutsche Telekom.
And other than the urgent question from senior management, Apollo did not say whether Yahoo would regain its exclamation mark and revert to the Yahoo! of the early days of the Web.