[Infowarrior] - Verizon to buy AOL for $4.4 billion

[Richard Forno]

(New Verizon Bloatware app will pronounce periodically, "You've Got Overages!" --rick)

Verizon to buy AOL for $4.4 billion

Fred Imbert	| @foimbert
8 Mins AgoCNBC.com


Telecom giant Verizon announced Tuesday it will be buying AOL for $50 per share, or about $4.4 billion. ()

AOL's stock was up more than 18 percent after the announcement. Verizon's stock was down about 1 percent. 

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 announcement 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.

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http://www.cnbc.com/id/102670331