AT&T Is Said to Hold Talks With Cerberus on Sale of Its Yellow Pages Stake

AT&T is in talks to sell a majority stake in its Yellow Pages unit to Cerberus Capital Management LP in a transaction that values the entire business at about $1.5 billion.

AT&T would retain a substantial minority stake in the division, and a deal could be reached this month. AT&T, which is being advised by Citigroup and Bank of America, has held talks with several buyout firms on the unit. The sale would allow AT&T, which hung on to its Yellow Pages division as competitors fled the business, to reduce its exposure to a unit facing increasing competition from online rivals Google, Groupon and Yelp.