Yahoo’s board has approved a deal to buy New York-based blogging service Tumblr for $1.1bn , The Wall Street Journal has just reported.
This acquisition will be CEO Marissa Mayer’s largest deal since taking the helm of Yahoo in July 2012.
Analysts say that by acquiring Tumblr, Yahoo would gain a larger social media presence and enhance its ability to attract younger audiences. It will also help Tumblr generate more revenue from advertisements.
On its home page, Tumblr says it hosts 108 million blogs, with 50.7 billion posts between them.
Under the terms of the acquisition, Tumblr would continue to operate as an independent business, the Wall Street Journal said, citing unnamed sources familiar with the situation.