Updated from 5:54 a.m. EDT
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Here are five things you must know for Monday, July 25:
Yahoo!'s core operations will be integrated with AOL, which Verizon bought last year. The deal is expected to close in the first quarter of 2017.
Verizon is unique among the reported Yahoo! bidders in its ability to combine Yahoo! with another major online media asset -- namely, AOL -- to obtain scale and cost synergies. Verizon is likely hoping that combining Yahoo!'s online media and advertising assets with AOL's own collection yields content synergies and the kind of publishing scale that appeals to major advertisers already committing huge sums to Alphabet's Google and Facebook.
Yahoo! shares were halted in premarket trading on Monday but had risen 0.3% before the merger announcement. Verizon shares rose slightly in premarket trading on Monday.
2. -- Tesla Motors (TSLA - Get Report) and SolarCity (SCTY) have made progress in putting together a deal that will merge the electric car maker and the solar panel installer, people familiar with the matter told Reuters.
The two companies, of which billionaire Elon Musk is a significant stakeholder, are in the final stages of carrying out due diligence on each other, and could agree on the terms of a deal in the coming days, Reuters reported, though it's still possible that their negotiations end unsuccessfully, the people said on Saturday.
Musk is pushing for Tesla to acquire SolarCity and envisions combining SolarCity's panels with Tesla's in-house battery packs to "create stunning solar roofs with seamlessly integrated battery storage," while bringing to market not just electric cars but electric commercial trucks and buses.
Separately, The Wall Street Journal reported Tesla is scrambling to finish building its massive $5 billion battery factory in Sparks, Nev., years ahead of schedule to meet demand for its coming cheaper sedan and provide power for new types of vehicles that Musk says are under development.
3. -- Nintendo (NTDOY) shares tumbled 17.7% in Tokyo after the company said that only a "limited" benefit from hit game Pokemon Go will feed through to its bottom line. The decline Monday came after the company's stock had almost doubled since the launch of the smartphone game in the U.S. earlier this month.
4. -- Swedish telecom equipment maker Ericsson (ERIC - Get Report) on Monday abruptly ousted CEO Hans Vestberg just days after announcing disappointing second-quarter earnings and amid dissatisfaction with the executive's turnaround plan.
The stock rose more than 5% in European trading and Ericsson's American depositary receipts rose 3.8% in premarket trading.
After seven years at the helm, Vestberg will stand down immediately but "remains at the company's disposal," Ericsson said. He will be replaced for now by Chief Financial Officer Jan Frykhammar until a permanent CEO is found, while group treasurer Carl Mellander will take the finance chief role for the time being.
Vestberg's ouster comes after Ericsson on July 19 missed second-quarter revenue estimates by 7% as earnings per share fell by 43% from a year earlier. At the time, Vestberg announced new cost cuts, but leading shareholders Investor and Industrivaerden reportedly pushed for new leadership.
5. -- U.S. stock futures on Monday pointed to a mixed start as Wall Street kicks off a week heavy with corporate earnings and a Federal Reserve policy-setting meeting.
The S&P 500 managed to clinch a new record high on Friday, closing 0.5% higher at 2,175, a mere point above its last record close on Wednesday. The Dow Jones Industrial Average rose 0.29%, and the Nasdaq added 0.52%.