Yahoo! (Nasdaq: YHOO) announced Wednesday, after market close, that it experienced an even larger hack on its users than the previously disclosed breach, which was already being discussed as the largest theft of user data in history. While the breach disclosed in September reportedly accessed about 500 million accounts, Yahoo! said Wednesday that the newly discovered hack affected more than 1 billion users.
Both of these events have been disclosed since Verizon Communications (NYSE: VZ) agreed to buy Yahoo for $4.8 billion earlier this year, a deal that has not yet closed. Verizon’s general counsel told reporters in October that the company believed the previous hack may constitute a “material change” in the deal, and the New York Post reported that Verizon was seeking a discount of about $1 billion in its purchase price.
Now Verizon Communications is exploring a price cut or possible exiting its deal to acquire Yahoo! due to concerns about liability from recent hacks, according to Bloomberg. "One major objective is negotiating a separation from any future legal fallout from the breaches. One team is still focused on integration, while another is reviewing the company's options."
Yahoo! stocks price on Wednesday close, before the news - 40,91$.
Yahoo! stocks price on Friday close - 38,61$.