Yahoo is being renamed to... Altaba
Marissa Mayer is resigning from Yahoo's board as wellBy Tim Schiesser 24 comments
After Verizon completes its $4.8 billion acquisition of Yahoo's key assets, the remainder of the company will be renamed to "Altaba", as discovered in a recent SEC filing. Yahoo CEO Marissa Mayer and several other key members will be resigning from Yahoo's board at the same time.
Update: If this doesn't make much sense, here's a follow-up explanation of why Yahoo is renaming itself and selling the "Yahoo" assets, which is counterintuitive, but the most convenient way to do this transaction due to taxes.
Altaba's main asset moving forward will be their 15% stake in Chinese e-commerce giant Alibaba; a stake that's more valuable than the internet business Yahoo is selling to Verizon. The name Altaba seems to be a reference to Alibaba, and will update the company's image to more closely reflect their remaining business.
Altaba will also retain a 35.5% stake in Yahoo Japan, which is a joint venture between the company formally known as Yahoo and SoftBank.
The SEC filing revealed that CEO Marissa Mayer, along with cofounder David Filo, current chairman Maynard Webb, and three other members of Yahoo's current board, will resign from the board following the closure of the Verizon deal. Altaba's new board will have just five members, all of which are current members of Yahoo's larger 11-person board, including Eric Brandt as the new chairman.
It's not entirely clear if the deal between Verizon and Yahoo will actually go through. Two massive security breaches in recent months have resulted in more than a billion compromised Yahoo accounts, and there are suggestions that Verizon may be leveraging this issue to either lower the acquisition price, or pull out of the deal altogether.
If the deal does go through, Verizon will own Yahoo's search business, Yahoo Mail, Tumblr, Flickr, and several other consumer internet services.