Yahoo, AOL joining hands to form new brand ‘Oath’

Two of the most iconic brands, Yahoo (YAHOF) and AOL are expected to form a new company under Verizon called Oath, launching this summer after Verizon's (VZ, Tech30) acquisition of Yahoo is completed.

The announcement of the new company’s launch was made by Tim Armstrong, the head of AOL, in his tweet, "Billion+ Consumers, 20+ Brands, Unstoppable Team. #TakeTheOath. Summer 2017." The new name was first reported by Business Insider.

A spokeswoman for AOL added further details regarding Oath saying, "In the summer of 2017, you can bet we will be launching one of the most disruptive brand companies in digital."

According to a report from Recode, Marissa Mayer, Yahoo's CEO, is not expected to join the new company and Armstrong will reportedly oversee the new company, BBC reported.

However, AOL and Yahoo declined to comment on the Recode report. Meyer had stated last year in July during announcement of the Verizon deal, "For me personally, I'm planning to stay. I love Yahoo, and I believe in all of you. It's important to me to see Yahoo into its next chapter."

Yahoo's next chapter will likely begin sometime this quarter if and when Verizon closes its deal to buy the company.

Verizon agreed to buy Yahoo's core Internet business for $4.8 billion in July. Verizon's goal was to use Yahoo's billion users to build an online advertising powerhouse to rival Google (GOOGL, Tech30) and Facebook (FB, Tech30).

After Verizon scoops up Yahoo's Internet assets, what remains of Yahoo – mostly investment holdings in Alibaba (BABA, Tech30) – will be renamed Altaba. Mayer will step down from the board of that company once the sale is complete.

With enclosure of all these deals, Yahoo as we know it may be done. But at least we'll always have Oath and Altaba.

– With contribution from Aiman Ali