/// Yahoo Board to Meet Sunday to Consider $1.1 Billion, All-Cash Deal to Acquire Tumblr
According to sources close to the situation, the Yahoo board plans to meet Sunday night to decide whether to approve a $1.1 billion all-cash offer for New York-based blogging site Tumblr. As AllThingsD.com first reported yesterday , Yahoo has been mulling some kind of deal with the hip New York-based blogging site, from a strategic investment to an outright acquisition. Sources said that the Silicon Valley Internet giant’s CEO Marissa Mayer has decided that buying Tumblr was going to be “the stake in the ground of what her strategy is going forward for Yahoo.” And that is to attract younger audiences with just the kind of user-generated content Tumblr has pioneered to huge growth. As with all big-time acquisition deals, this one could certainly fall apart at the last minute, but source said the agreement was still in place as of today. If approved by Yahoo’s board, it will be announced Monday. Yahoo has already said it has news to announce then. According to numerous sources, Mayer started an intense focus on Tumblr about six weeks ago and determined quickly that the fast-growing content site, turbocharged by mountains of user-generated content, was just the kind of property that Yahoo needed to make it both “cool” and relevant to new audiences.