Yahoo (NASDAQ:YHOO) has agreed to take a price snip of $300mln on the original $4.8bn sale of its core business to Verizon Communications (NYSE:VZ) as both companies are determined to complete a deal that was jeopardised after the internet group revealed it had suffered two major data breaches, people involved in the negotiations said.
The US telecom group and the California-based internet search company are close to revising the original agreement down, media reports cited two people familiar with the matter.
A renegotiated agreement is the clearest sign that Verizon and Yahoo want to put the accounts hacking crisis behind them and move ahead with a deal that some feared could collapse due to the potential litigation risks linked to the data breach.
Yahoo shares closed up 1.4% at $45.65 while Verizon shares were down 0.4% to $48.08 on Wednesday.
Story by ProactiveInvestors