Yahoo’s chief executive Marissa Meyer will step down and the company will be renamed Altaba, if the $4.83 billion takeover by Verizon goes through.
The takeover deal was agreed in July, with Verizon purchasing Yahoo’s core Internet businesses, which include its email service, sports verticals and various apps. The remaining business, which includes a 15 percent stake in Chinese e-commerce company Alibaba and 35.5 percent stake in Yahoo Japan, willbe renamed Altaba and be governed by the remaining directors.
However, there is some speculation as to whether the deal with Verizon still stands. Last year Yahoo disclosed two separate data breaches, one involving some 500 million customer accounts and the second involving over a billion, which Verizon is said to be examining. If the impact of the breaches are found to be severe, the deal may stall.
Current chief executive Marissa Mayer is expected to remain with Yahoo’s core business if the takeover goes ahead. Yahoo have named Eric Brandt as chairman of the board of the new company, effective from January 9th.
According to a Washington Post source, the new name – Altaba – is designed to be a combination of the words “alternative and Alibaba”. After the name change, Altaba’s stock will be able to be tracked as an alternative to Alibaba, given that Yahoo owns a sizeable 15 percent stake in the Chinese company.
Yahoo (NASDAQ:YHOO) shares are currently up 0.27 percent at 41.34 (1030GMT).