Ya­hoo set to shrink board, change name

China Daily (USA) - - BUSINESS -

Ya­hoo Inc Chief Ex­ec­u­tive Of­fi­cer Marissa Mayer is among six direc­tors who plan to leave the board of the in­vest­ment com­pany that will be left af­ter the clos­ing of the pro­posed sale of Ya­hoo’s main in­ter­net prop­er­ties to Ver­i­zon Com­mu­ni­ca­tions Inc.

The new com­pany, a share­holder in Alibaba Group Hold­ing Ltd and Ya­hoo Ja­pan, will change its name to Altaba Inc and re­duce its board to five mem­bers as it looks ahead to its next chap­ter with fewer ties to the iconic brand, ac­cord­ing to a fil­ing on Mon­day.

Ya­hoo agreed to sell its web prop­er­ties to Ver­i­zon in a deal val­ued at about $4.8 bil­lion, though ques­tions have come up af­ter Ya­hoo re­vealed two sep­a­rate hacks of user data. The deal came af­ter Mayer failed to de­liver on a turn­around at­tempt that be­gan af­ter her ar­rival in 2012.

“The end of the Marissa Mayer era— it looks like her plan is to com­plete the sale of the op­er­at­ing com­pany to Ya­hoo and let the lawyers and tax ac­coun­tants fig­ure out the best op­tion for the stakes in Alibaba and Ya­hoo Ja­pan,” said Paul Sweeney,

... It looks like her plan is to com­plete the sale of the op­er­at­ing com­pany ...” Paul Sweeney, an an­a­lyst at Bloomberg In­tel­li­gence

an an­a­lyst at Bloomberg In­tel­li­gence.

The direc­tors who will re­main with Altaba af­ter the clos­ing of the Ver­i­zon sale are Tor Bra­ham, Eric Brandt, Cather­ine Fried­man, Thomas McIn­er­ney and Jeffrey Smith. Brandt was named the chair­man to help the com­pany ease its tran­si­tion to an in­vest­ment ve­hi­cle.

While the deal with Ver­i­zon fol­lowed months of ne­go­ti­a­tions with var­i­ous par­ties, it has come un­der pres­sure af­ter Ya­hoo last month re­vealed a sec­ond ma­jor hack of user ac­counts.

Ver­i­zon be­gan ex­plor­ing a lower price or a pos­si­ble exit from its pur­chase agree­ment in the wake of the re­cent dis­clo­sure of the data breaches.

Newspapers in English

Newspapers from China

© PressReader. All rights reserved.