Marissa Mayer has chose to resign from Yahoo as the firm starts a new life under a new name, Altaba as the Verizon deal closes months after the two signed a Stock Purchase Agreement in July 23, 2016.
Other members of the board who have chose to resign include co-founder David Filo, Eddy Hartenstein, Richard Hill, Jane Shaw and Maynard Webb.
Mayer and the rest are resigning from the company on their own will upon the closing of the sale. Her intention to resign is not due to any disagreement with the Company on any matter relating to the Company’s operations, policies or practices.
Altaba will operate as an investment company immediately following the closing. Altaba’s main assets will be Yahoo’s stake in Alibaba. The sale does not include Yahoo’s cash, its shares in Alibaba Group Holdings, its shares in Yahoo Japan, Yahoo’s convertible notes, certain minority investments, and Yahoo’s non-core patents (called the Excalibur portfolio).Other media assets will be tansfered to Verizon. Altaba’s size of the Board will be reduced to five (5) directors. Tor Braham, Eric Brandt, Catherine Friedman, Thomas McInerney and Jeffrey Smith will continue to serve as directors of the Company following the Closing, and Mr. Brandt will serve as Chairman of the Board.
Effective January 9, 2017, Mr. Brandt will become Chairman of the Board and Mr. Webb will become Chairman Emeritus of the Board.
In July last year, Verizon announced the intention to acquire Yahoo’s operating business for approximately $4.83 billion in cash, subject to customary closing adjustments giving it access to Yahoo’s 1 billion monthly active users including 600 million monthly active mobile users through its search, communications and digital content products.
Verizon said Yahoo will be integrated with AOL under Marni Walden, EVP and President of the Product Innovation and New Businesses organization at Verizon.
Speaking in July last year, Lowell McAdam, Verizon Chairman and CEO said: “Just over a year ago we acquired AOL to enhance our strategy of providing a cross-screen connection for consumers, creators and advertisers. The acquisition of Yahoo will put Verizon in a highly competitive position as a top global mobile media company, and help accelerate our revenue stream in digital advertising.”
Marissa Mayer, who has been CEO of Yahoo since 2012 has failed to turn around the company’s fortune says the sale of its operating business, which effectively separates its Asian asset equity stakes, is an important step in Yahoo’s plan to unlock shareholder value for Yahoo.
Yahoo will join AOL’s The Huffington Post, TechCrunch, Engadget, MAKERS and AOL.com, and market-leading programmatic platforms — including ONE by AOL for both advertisers and publishers.
The addition of Yahoo to Verizon and AOL will create one of the largest portfolios of owned and partnered global brands with extensive distribution capabilities. Combined, AOL and Yahoo will have more than 25 brands in its portfolio for continued investment and growth.
Yahoo’s key assets include market-leading premium content brands in major categories including finance, news and sports, as well as one of the most popular email services globally with approximately 225 million monthly active users. Additional technology assets in the advertising space include Brightroll, a programmatic demand-side platform; Flurry, an independent mobile apps analytics service; and Gemini, a native and search advertising solution.