Yahoo Board gives go ahead to Tumblr deal for $1.1 billion
Last week Yahoo CEO Marissa Mayer had revealed that the search engine is in talks to acquire Tumblr, and enter the premier league of social media.
Yahoo Board has reportedly approved a telephonic deal with New York-based social blogging site Tumblr to acquire the blogging site for 1.1 billion dollars in cash, although Tumblr will function independently despite the Internet icon investing in the company.
While Yahoo has approved the deal, Tumblr’s board has not made it clear whether the company has approved the deal, Fox News reports.
Yahoo plans to get more traffic directed to its site by way of acquiring Tumblr that has a simple design but is a hub of communication and blogging for millions of people although it generates less revenue.
The social media site founded in 2007 effectively merges blogging with social media where people post blogs and photos, follow others on the site and receive updates via feeds, the report added.