Monday, November 20, 2017
Search
  
Submit your own News for
inclusion in our Site.
Click here...
Breaking News
AMD EPYC Processor Powers the New HPE Gen10 Server
Volvo to Supply Thousands of Self-driving Cars to Uber
Marvell Technology to Buy Cavium for $6 billion
Honor 7X is Official Coming with a FullView Display
Samsung Forecast to Top Intel as Larger Semiconductor Supplier in 2017
Samsung, LG Electronics Cut TV Prices for Black Friday
Toshiba's Board Approves $5 billion Injection to Stay Listed
LG Electronics Launches the ThinQ Hub AI Speaker
Active Discussions
Which of these DVD media are the best, most durable?
How to back up a PS2 DL game
Copy a protected DVD?
roxio issues with xp pro
Help make DVDInfoPro better with dvdinfomantis!!!
menu making
Optiarc AD-7260S review
cdrw trouble
 Home > News > General Computing > Investo...
Last 7 Days News : SU MO TU WE TH FR SA All News

Friday, May 16, 2008
Investor to Lead Fight Against Yahoo Board


Billionaire investor Carl Icahn reportedly has decided to lead a mutiny against Yahoo's board in an attempt to pressure the directors into reviving negotiations to sell Yahoo to Microsoft.

To turn up the heat on Yahoo's board, Icahn has lined up a slate of 10 directors to nominate as replacements, The Wall Street Journal reported on its Web site Wednesday, citing an unnamed person close to the matter.

Icahn's intentions should become clear soon since Yahoo has set a Thursday deadline for submitting candidates to oppose its board at the company's July 3 annual meeting.

Yahoo's board is on the hot seat for rejecting Microsoft's initial bid of $44.6 billion, or $31 per share, and taking measures that finally drove away the software maker.

Microsoft Chief Executive Steve Ballmer orally offered to raise the offer to $47.5 billion, or $33 per share, earlier this month. He withdrew the bid May 3 after Yahoo CEO Jerry Yang, acting on behalf of the board, held out for $37 per share - a price that Yahoo's stock hasn't reached in more than two years.

The Yahoo board's demands for $37 per share infuriated many of the company's shareholders, who are skeptical about Yang's pledge to dramatically accelerate the Internet icon's revenue growth during the next two years after being stuck in financial funk since 2005.

Hoping to capitalize on the discontent, Icahn reportedly has spent more than $1 billion to acquire about 50 million Yahoo shares - a stake of about 3.6 percent.

Now Icahn appears ready to spend millions of dollars waging a campaign to oust the Yahoo directors, including Yang, who started the company 14 years ago.

The Journal reported Icahn's list of alternate directors includes at least one former CEO, Frank Biondi, who used to run Viacom Inc. Biondi has worked with Icahn in previous battles - known as proxy contests - to unseat corporate boards.

It's usually difficult for a dissident shareholder to prevail in proxy contests.

The list of troubled companies that Icahn has recently pressured into shake-ups includes Blockbuster and Motorola.

Many analysts still believe Microsoft eventually will come back to the negotiating table because a Yahoo takeover represents the software maker's best chance of achieving its goal to challenge Google's dominance of the Internet search and advertising market.

If Yang and the rest of the Yahoo board decide to resist Icahn's renewed talks with Microsoft, the company could try to win over shareholders by turning over some of its prime advertising space to Google. That could appease shareholders because Google's technology proved to be far more profitable than Yahoo's ad system in a two-week trial completed last week.

Yahoo's flirtation with Google is one of the main reasons that Microsoft abandoned its bid, according to Ballmer.

But an alliance between Yahoo and Google would face antitrust obstacles because the two companies control more than 80 percent of the U.S. search advertising market.


Previous
Next
HDR-TG1: The World's smallest HD camcorder        All News        Nintendo to Pay $21 million For Patent Infringement Related to Controllers
CBS Buying CNET For $1.8 Billion; CBS Predicts $1 Billion Interactive Revenues By 2010     General Computing News      Adobe Flash Player 10 Public Beta Released

Get RSS feed Easy Print E-Mail this Message

Related News
Top Black Friday deals from Microsoft
Microsoft Cloud Continues to Grow, Powers First Quarter Results
Microsoft to Buy Wind Energy From GE's new Wind Farm in Ireland
Microsoft Brings the Edge Browser to iOS and Android
Yahoo Says All 3 Billion Accounts Were Hacked in 2013 Security Breach
Microsoft Announces First Windows S Devices, Brings cloud, AI and Mixed Reality to Businesses
Windows Creators Update Available in October
Microsoft Surface Devices Fail on Reliability
Microsoft Coco Framework Improves Performance and Governance Characteristics of Enterprise Blockchain Networks
New Microsoft keyboard brings Windows Hello to Windows 10 PCs
Microsoft pays up to $250,000 for Windows 10 bugs
Microsoft Paint isn't Dead Yet

Most Popular News
 
Home | News | All News | Reviews | Articles | Guides | Download | Expert Area | Forum | Site Info
Site best viewed at 1024x768+ - CDRINFO.COM 1998-2017 - All rights reserved -
Privacy policy - Contact Us .