Current CEO at Yahoo Marissa Mayer, David Filo the co-founder and others are planning to resign from the board of directors of the company after it completes its sale of $4.8 billion to Verizon.
Mayer, who joined the company in 2012 and Filo, who was a co-founder in 1994 while at Stanford University as well as Maynard Webb the chairman and three others will depart. It is not known if Mayer will stay on in some capacity.
The board named Eric Brandt, who is one of the new members of the 11-person board, as the new chairman.
In a filing late Monday with the Securities and Exchange Commission, Yahoo said these resignations were not caused by an disagreement with Yahoo on anything related to its operations, practices or policies.
The SEC filing said Yahoo would be named Altaba following the closing of the deal with Verizon.
The absence of Meyer from the board of the new company does not surprise anyone, said a research analyst in the industry.
Altaba will not be considered an operating business and therefore little exists for Meyer to be involved with, said the analyst.
Another analyst believes that Altaba, whose full value is made up mostly of Yahoo’s stake in Alibaba, will likely be wound down over time through selling the stakes in Yahoo Japan and Alibaba to investors.
The only thing that is slowing that sale down is tax consequences to the shareholders who have watched the stake in Alibaba appreciate a great deal since it was purchased by Yahoo.
The deal between Yahoo and Verizon has seen its controversies since being announced during July of 2016.
Last week, a senior executive with Verizon who played a big part in the planned purchase by the telecom giant of the Internet business of Yahoo expressed doubts regarding the deal, the second executive to raise that question.
The executive, Marni Walden, the product innovation president at Verizon said after being asked if the deal would get done, she said she was not sure one way or the other because it was still unknown.
However, at a Las Vegas investment bank conference she did say the deal did make sense.
Executives at Verizon have become unsettled by a pair of digital breaches that were disclosed by Yahoo that affected over 1 billion users dating back a number of years.
Yahoo also has struggled to land new digital advertising due to big competition from its larger rivals Facebook and Google.