Yahoo’s Finishing Moments: Marissa Mayer Resigns and Yahoo Changes Name to Atbaba
Is it the end of an era for the internet?
Yahoo Changes Name to Atbaba
Yahoo has revealed it plans to change its name to Altaba, while beleaguered boss Marissa Mayer will leave, if the firm is bought by Verizon.
The SEC filing has revealed the firm’s plans – despite ongoing concerns the recent revelation user’s accounts were hacked could scupper the $4.8bn deal.
Yahoo is set to change its name to Altaba, while beleaguered boss Marissa Mayer will leave as part of takeover by Verizon, an SEC filing has revealed.
Mayer, along with Yahoo cofounder David Filo and four other members of the board will step down after the deal closes, Yahoo said.
Verizon is acquiring Yahoo’s operating business under the proposed transaction, while Yahoo’s remaining business, which consists primarily of its stake in Chinese ecommerce giant Alibaba and its partnership in Yahoo Japan, will continue to exist as a separate company.
The board resignations announced on Monday refer to the remaining investment company that’s not going to Verizon, and which will be renamed ‘Altbaba,’ the company said.
Mayer’s resignation from the new board is ‘not due to any disagreement with the Company on any matter relating to the Company’s operations, policies or practices,’ the filing says.
The deal was rumoured to be on the rocks after a fresh hacking scandal at the beleaguered internet giant.
Hackers may have gained access to names, email addresses, telephone numbers, passwords and dates of birth, as well as security questions and answers.
It could potentially help criminals get inside bank accounts, social media pages and online shopping profiles.
The attack, which happened three years ago, but was only made public on Wednesday, is thought to be the biggest in history.
Last week a senior Verizon Communications Inc executive said that the company was unsure about its planned acquisition of Yahoo Inc’s internet business.
In the SEC filing, Yahoo says: ‘In light of the fact that following the Closing the Company will operate as an investment company under the Investment Company Act of 1940, the Board has determined that, immediately following the Closing, the size of the Board will be reduced to five (5) directors.
‘Tor Braham, Eric Brandt, Catherine Friedman, Thomas McInerney and Jeffrey Smith will continue to serve as directors of the Company following the Closing, and Mr. Brandt will serve as Chairman of the Board.
‘Each of David Filo, Eddy Hartenstein, Richard Hill, Marissa Mayer, Jane Shaw and Maynard Webb has indicated that he or she intends to resign from the Board effective upon the Closing, and that his or her intention to resign is not due to any disagreement with the Company on any matter relating to the Company’s operations, policies or practices.’
Mayer would walk away with an approximately $55 million severance package if Yahoo’s sale to Verizon ousts her from her job.
A regulatory filing in April disclosed that Mayer would get a payout consisting of cash, stock awards and other benefits should she be forced out as CEO within a year after a sale.
But the actual payout of so-called change-in-control severance benefits is likely to be larger. Yahoo’s estimates were based on a share price of $33.26 on Dec. 31.
Yahoo came under renewed scrutiny by federal investigators and lawmakers last month after disclosing the largest known data breach in history, prompting Verizon to demand better terms for its planned purchase.
‘I can’t sit here today and say with confidence one way or another because we still don’t know,’ Marni Walden, president of product innovation and new businesses at Verizon, said at the Citi 2017 Internet, Media & Telecommunications Conference in Las Vegas.
Read more: http://www.dailymail.co.uk/sciencetech/article-4103844/The-end-Yahoo-Marissa-Mayer-resign-firm-change-Altaba-3-9bn-Verizon-takeover-gets-ahead.html#ixzz4VJOSgVJx
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