|The end of the road (again) for AOL as an independent company:|
Verizon to buy AOL for $4.4 billion
May 12, 2015
Telecom giant Verizon announced Tuesday it will be buying AOL for $50 per share, or about $4.4 billion.
The transaction will be completed this summer and will take the form of a tender offer followed by a merger, after which AOL will become a wholly owned subsidiary of Verizon, the company said.
"Verizon's acquisition further drives its LTE wireless video and OTT (over-the-top video) strategy," Verizon said in a statement.
Tim Armstrong, AOL's chairman and CEO, will remain at his position once the deal is finalized.
"Verizon is a leader in mobile and OTT connected platforms, and the combination of Verizon and AOL creates a unique and scaled mobile and OTT media platform for creators, consumers and advertisers," Armstrong said in the announcement.
AOL's stock was up more than 17 percent after the deal was announced. Verizon's stock was down about 2 percent.
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