BUSINESS

02/21/2017 09:11 am ET

(Reuters) – Verizon Communications Inc <VZ.N>, the No. 1 U.S. wi-fi provider, stated on Tuesday it agreed to purchase the core web enterprise of Yahoo Inc <YHOO.O> for $four.48 billion, about $350 million lower than the unique value.

The deal will mix Yahoo’s search, electronic mail and messenger belongings in addition to promoting expertise instruments with Verizon’s AOL unit.

Verizon had been attempting to influence Yahoo to amend the phrases of the settlement to mirror the financial harm from two cyber assaults.

The closing of the deal, which was first introduced in July, has been delayed as the businesses assessed the monetary fallout from the breaches that Yahoo disclosed final yr.

The businesses stated on Tuesday they count on the deal to shut within the second quarter.

Below the amended phrases, Yahoo and Verizon will cut up money liabilities associated to some authorities investigations and third-party litigation associated to the breaches.

Yahoo will proceed to be liable for liabilities from shareholder lawsuits and Securities and Trade Fee investigations.

Verizon has been trying to cell video and promoting for brand spanking new sources of income exterior the oversaturated wi-fi market.

(Reporting by Aishwarya Venugopal and Anya George Tharakan in Bengaluru; Modifying by Saumyadeb Chakrabarty)