Yahoo and AOL, formerly Verizon Media, have officially acquired by their new owners and renamed simply “Yahoo”. Verizon announced that it was selling the properties to Apollo Global Management in May in a deal valued at an estimated $ 5 billion, about half of the nearly $ 9 billion the telecommunications giant initially had. paid for them, and a fraction of the hundreds of billions of them companies were worth at their peaks.
Verizon initially bought AOL in 2015 for $ 4.4 billion and acquired Yahoo in 2017 for $ 4.5 billion. After completing its acquisition of Yahoo, Verizon placed the two brands under the infamous “Oath” brand. “#TakeTheOath” proclaimed Tim Armstrong, CEO of AOL. Media divisions, which include properties like Yahoo sports, TechCrunch, and Engaged, were officially renamed “Verizon Media” in 2019.
Yahoo will now be headed by CEO Guru Gowrappan and will operate as a stand-alone company under Apollo Funds. Apollo is a private equity firm that owns assets such as craft retailer Michaels and the Venetian Resort in Las Vegas. “The conclusion of the agreement heralds an exciting time of renewed opportunities for us as a stand-alone entity,” said Gowrappan. “We anticipate that the coming months and years will bring new growth and innovation for Yahoo as a company and a brand, and we look forward to creating that future with our new partners. “
The acquisition marks the end of Verizon’s short-lived alliance with media production and advertising. In 2019, the company sold Tumblr (previously owned by Yahoo), before selling The Huffington Post (formerly part of AOL) last year. Despite the massive sales, Apollo claims Yahoo still has nearly 900 million monthly active users.
Correction Sept. 13 at 7:31 a.m.ET: Although Apollo’s website currently lists it as the owner of Chuck E. Cheese, the restaurant chain changed ownership last year. We have updated the article accordingly.