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Three Firms Help Apollo Buy Verizon Media for $5 Billion

May 4, 2021, 10:56 AM

Paul, Weiss is advising funds affiliated with private-equity firm Apollo Global Management Inc. on their $5 billion deal to acquire Verizon Media, which owns Yahoo!, AOL, and other online media businesses.

Kirkland & Ellis and Freshfields Bruckhaus Deringer are advising Verizon on the transaction, which calls for Verizon to get $4.25 billion in cash and “preferred interests” of $750 million, and to keep a 10% stake in the company.

Upon closing, expected in the second half, the company will be known as Yahoo and continue to be led by CEO Guru Gowrappan, according to a statement.

The transaction will let Verizon Media pursue growth and will benefit the company’s employees, advertisers, publishing partners and nearly 900 million monthly users worldwide, Verizon said in the statement.

“We are big believers in the growth prospects of Yahoo,” said David Sambur, Apollo senior partner and co-head of private equity. “Apollo has a long track record of investing in technology and media companies and we look forward to drawing on that experience to help Yahoo continue to thrive.”

To contact the correspondent on this story: Rick Mitchell in Paris at rmitchell@correspondent.bloomberglaw.com
To contact the editor responsible for this story: Chris Opfer at copfer@bloomberglaw.com; John Hughes in Washington at jhughes@bloombergindustry.com

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