Verizon has just announced that it is acquiring AOL. Verizon is offering $50 per share while closing price per share was $42.59 on Monday. So, the deal will be of around $4.4 billion in cash. Once the deal is closed, AOL will be the part of Verizon and AOL’s CEO, Tim Armstrong will continue to lead the company.
It is worth to mention that few popular blogs including Techcrunch, Engadget and The Huffington Post are the part of AOL network. AOL is one of the biggest companies in digital advertising and content. Now all the web properties belong to AOL.
According to eMarketer, AOL had only 0.74% share in the $145 billion global digital advertising market in 2014. Google was market leader with 31.4% market share last year, followed by Facebook with 7.9% market share in digital advertising.
Lowell McAdam, Verizon chairman and CEO, said, “AOL has once again become a digital trailblazer, and we are excited at the prospect of charting a new course together in the digitally connected world. At Verizon, we’ve been strategically investing in emerging technology, including Verizon Digital Media Services and OTT, that taps into the market shift to digital content and advertising. AOL’s advertising model aligns with this approach, and the advertising platform provides a key tool for us to develop future revenue streams.”
We are trying to learn more about this deal. As we have something exciting to share, we will share it with you. Please check this post again in few hours.
Source: Verizon
