LLNW - Limelight Networks jumps on report to acquire Yahoo's Edgecast for $300M in an all-stock deal

Limelight Networks (NASDAQ:LLNW) is rising 6.7% premarket after the firm agrees to acquire Yahoo's Edgecast, a leading provider of edge security, content delivery and video services, in an all-stock transaction. Yahoo to receive all stock and will invest $30M or about 1x 2021 revenue demonstrating conviction in combined company's growth plans. Edgecast is a business unit of Yahoo, which is owned by funds managed by affiliates of Apollo and Verizon Communications. Yahoo will receive ~72.2M shares of Limelight common stock and will own ~31.9% of the combined company at closing and appoint three directors. The purchase price also includes a $30M investment in the combined company by Apollo and their co-investors, through their ownership of Yahoo. Additionally, Yahoo shall receive up to an additional 12.7M shares of Limelight, representing up to an additional $100M in deal consideration, over the period ending on the third anniversary of the closing of the transaction, subject to the

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Limelight Networks jumps on report to acquire Yahoo's Edgecast for $300M in an all-stock deal