Telecom giant Verizon acquires AOL for $4.4 bn

New York, May 13 (IANS/EFE): Telecom giant Verizon Communications Inc. said it was acquiring digital content provider AOL Inc. for $4.4 billion. It is paying $50 per share for AOL, a premium of 17.4 percent over the stock’s closing price of $42.59 on Monday. “Verizon’s vision is to provide customers with a premium digital experience based on a global multi-screen network platform,” Verizon chairman and CEO Lowell McAdam said on Tuesday.

 

“This acquisition supports our strategy to provide a cross-screen connection for consumers, creators and advertisers to deliver that premium customer experience.” AOL is a leading provider of digital content and advertising, and one of the pioneers of the Internet age. AOL chairman and CEO Tim Armstrong is staying on after the deal closes and will run the unit, Verizon said.“The acquisition will be financed with cash on hand and the issuance of debt, Verizon said.