Verizon (VZ) Wins Yahoo’s Core Assets For $4.83B

Since putting itself up for sale back in February, Yahoo has received several bids from many types of buyers. At one point the number was allegedly 40 bidders and included AT&T.

Well, it now looks like Verizon has won the bidding war. Verizon announced Monday morning that it would be acquiring the internet company for $4.83 billion, in cash.

According to Re/code, Yahoo informed all of the other potential bidders on Saturday that Verizon had won.

Yahoo CEO Marissa Mayer stated in a press release, “Yahoo is a company that has changed the world, and will continue to do so through this combination with Verizon and AOL.”

“The sale of our operating business, which effectively separates our Asian asset equity stakes, is an important step in our plan to unlock shareholder value for Yahoo. This transaction also sets up a great opportunity for Yahoo to build further distribution and accelerate our work in mobile, video, native advertising and social.”

Verizon’s acquisition is of Yahoo’s core business. This means the search, email, advertising, and media business including Yahoo Finance, will now belong to Verizon.

The company did not acquire Yahoo’s 15% stake in Alibaba nor its 35% stake in Yahoo Japan, or Yahoo’s patents.

Tim Armstrong, the CEO of AOL, which Verizon acquired for $4.4B lat year, will be running a new group at Verizon. The group will bring together both Yahoo and AOL.

Armstrong said in a press release, “Our mission at AOL is to build brands people love, and we will continue to invest in and grow them.”

“Yahoo has been a long-time investor in premium content and created some of the most beloved consumer brands in key categories like sports, news and finance … We have enormous respect for what Yahoo has accomplished.”

Disclaimer: We have no position in Verizon Communications Inc. (NYSE: VZ) nor Yahoo! Inc. (NASDAQ: YHOO) and have not been compensated for this article.