Verizon's Acquisition of Yahoo's Business: What You Need to Know

To many, the rumors about Yahoo being sold to Verizon have been swirling for a while now. However, the recent confirmation of the deal is an important step for both companies. Understanding the specifics of this transaction is key to comprehending its impact on the tech industry.

Key Points of the Deal

Verizon did not acquire the entirety of Yahoo. Instead, the deal includes Yahoo's operating business, specifically its core business activities. Yahoo's significant stake in Alibaba, valued at approximately 32.5 billion, and its Japanese subsidiary Yahoo Japan, estimated at 8.6 billion, were not included in the acquisition. This means that buyers of Verizon should not expect to gain access to Yahoo's significant financial assets through this deal.

Stock Movements

To fully understand the impact of this deal, it is essential to examine the stock movements of both companies. The chart below illustrates the stock performance of Yahoo and Alibaba since 2014:

The chart shows the fluctuation in stock prices over the years, highlighting key moments and how they relate to major news events. Notably, there were significant drops in stock prices during times of major restructuring and acquisition activities.

Following Official News

Those interested in staying informed about the details of the deal and any future developments should follow Yahoo's official Tumblr page. Here, they can find the most up-to-date news and press releases. Additionally, the Yahoo Finance summary page for YHOO is a comprehensive resource that includes all the latest news, financial insights, and analysis.

With the formal SEC filing expected soon, more concrete information will become available to the public. This will provide further clarity on the specifics of the deal and its implications for both companies and the broader tech industry.

Conclusion

The acquisition of Yahoo's operating business by Verizon represents a significant shift in the tech landscape. While the deal does not include Yahoo's financial assets such as its stake in Alibaba and its Japan subsidiary, it is still a major development that merits close attention.

Stay tuned for further updates and continue to follow official news sources for the latest information.