Following the sale of Yahoo’s core internet business to Verizon Communications, the remaining stakes owned by Chinese Internet giant Alibaba will henceforth be known as Altaba, when the closes by late March. According to insider sources, the new name is a combination of Alternative and Alibaba.
Last year, Verizon has a deal to buy Yahoo’s core internet business which includes – digital advertising, media assets, email and apps for $4.8 billion. The sale does not cover Yahoo’s the 35% stake owned in Yahoo Japan and 15% stake in Alibaba Group Holding, currently worth about $35 billion.
The remaining stakes has so far been reffered to as RemainCoin on SEC fillings. Altaba will be traded publicly and will be tracked as an ‘Alternative Alibaba or Alternate Alibaba’. Upon the closure of the deal, Yahoo Co-founder, David Filo; CEO, Marissa Mayer and four other directors will resign from the board. The size of the board will also be reduced to five and Eric Brandt has been installed as chairman.
Following two recent data breaches (one involving around 500 million and the other involving 1 Billion customer accounts), the deal with Verizon could be called off or amended as deemed fit. Subject to the conclusion, the task of combining AOL and Yahoo will be handled by Marni Walden, Verizon EVP and president of product innovation.
Sources: Reuters, Washington Post
