An interesting look at Yahoo’s deal with Taboola, which will power its self-service native advertising
Taboola will exclusively monetize Yahoo — one of the largest digital publishers with 900 million monthly active users. It also expects to significantly improve its balance sheet. Taboola is trying to win over investors by explaining Yahoo had been on its network for all of 2022, revenue would be $2.4 billion and adjusted EBITDA would be $297 million, 76% and 90% higher, respectively, than current guidance.
Taboola is betting that this rosier financial outlook, plus a higher stock price — shares are up 53% since the deal was announced Monday — will make the partnership valuable to investors. Taboola went public in a SPAC deal in June 2021.