Yandex (NASDAQ:YNDX) notified that its Russian operating subsidiary has entered into a binding pact with VK, one of Russia’s largest social media businesses, to sell Yandex’s news aggregation platform and Zen infotainment service as well as the main page, where both services have been located.
Yandex will acquire 100% of the food delivery service Delivery Club.
In line with this strategic focus, ya.ru will become Yandex’s main page and the key entry point into Search, Mail and other non-media services.
The company will also launch a new application for Android called Yandex with Alice. The core service for both Yandex’s new main page ya.ru and new application Yandex with Alice will be our Search engine.
Upon the completion of the transaction, Yandex’s current main application for Android will change its name to Yandex Start.
The current main page with News and Zen will be renamed dzen.ru and will be controlled and further developed by VK. The related News and Zen brands and technologies will be also transferred to VK.
Delivery Club, the leading food and grocery delivery service in Russia, will become a part of Yandex’s E-commerce, Mobility and Delivery segment.
Pursuant to the closure, users will be able to continue to use both Yandex Eats and Delivery Club apps, while couriers, working with Delivery Club, will join the Yandex Pro technological platform.
Yandex intends to maintain the Delivery Club brand.
The deal is subject to anti-monopoly approval in Russia and is expected to close in the coming months.
Image and article originally from seekingalpha.com. Read the original article here.