Verizon , the largest U.S. wireless operator, has entered an agreement to buy Yahoo’s core internet business in a cash deal worth about $4.8 billion, as it looks to bolster its presence in the digital advertising and content space. The transaction, which is subject to shareholder and regulatory approval, is expected to close in Q1 2017. The price that Verizon is paying appears to be relatively fair, as our current valuation model for Yahoo values the core operating business at roughly $4.2 billion. (See our complete valuation model for Yahoo) Below we take a look at what the deal could mean for Verizon.
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