Feeds

Yahoo! faces battle for the board

Icahn! launches! proxy! war!

The next step in data security

Yahoo! might not have escaped the clutches of Microsoft after all.

Activist investor Carl Icahn has confirmed he will fight to take over Yahoo!'s board of directors in order to force through a takeover by Microsoft.

Icahn, who succeeded in getting board seats at Motorola, today named the ten people he would like to see replace Yahoo's current board of directors.

He described Yahoo!'s recent decision to reject Microsoft's offer for the company as "irrational". The letter, addressed to Yahoo!'s chairman Roy Bostock, said: "It is clear to me that the board of directors of Yahoo has acted irrationally and lost the faith of shareholders and Microsoft. It is quite obvious that Microsoft’s bid of $33 per share is a superior alternative to Yahoo’s prospects on a standalone basis." He said that he, and many shareholders, believed that a combined Microsoft/Yahoo would be a dynamic company and strong enough to compete with Google.

Icahn has now bought 59m Yahoo! shares and asked the Federal Trade Commission for clearance to acquire up to $2.5bn of Yahoo! stock.

What is not clear from the letter is whether Icahn has spoken to Steve Ballmer or anyone else at Microsoft. Microsoft withdrew its offer of $47.5bn because Yahoo! demanded another $5bn. In his letter Ballmer ruled out taking the offer directly to Yahoo! shareholders - the strategy which Icahn is now banking on.

He attached the biographies of his proposed directors - these include Mark Cuban, who sold broadcast.com to Yahoo! for $5bn, venture capitalist Adam Dell and Edward Meyer.

The full letter is here.

Icahn's proposal is likely to go to what promises to be a stormy Yahoo!'s shareholder meeting on 3 July. ®

Security for virtualized datacentres

More from The Register

next story
Phones 4u slips into administration after EE cuts ties with Brit mobe retailer
More than 5,500 jobs could be axed if rescue mission fails
JINGS! Microsoft Bing called Scots indyref RIGHT!
Redmond sporran metrics get one in the ten ring
Driving with an Apple Watch could land you with a £100 FINE
Bad news for tech-addicted fanbois behind the wheel
Phones 4u website DIES as wounded mobe retailer struggles to stay above water
Founder blames 'ruthless network partners' for implosion
Sony says year's losses will be FOUR TIMES DEEPER than thought
Losses of more than $2 BILLION loom over troubled Japanese corp
Radio hams can encrypt, in emergencies, says Ofcom
Consultation promises new spectrum and hints at relaxed licence conditions
Why Oracle CEO Larry Ellison had to go ... Except he hasn't
Silicon Valley's veteran seadog in piratical Putin impression
Big Content Australia just blew a big hole in its credibility
AHEDA's research on average content prices did not expose methodology, so appears less than rigourous
prev story

Whitepapers

Secure remote control for conventional and virtual desktops
Balancing user privacy and privileged access, in accordance with compliance frameworks and legislation. Evaluating any potential remote control choice.
WIN a very cool portable ZX Spectrum
Win a one-off portable Spectrum built by legendary hardware hacker Ben Heck
Storage capacity and performance optimization at Mizuno USA
Mizuno USA turn to Tegile storage technology to solve both their SAN and backup issues.
High Performance for All
While HPC is not new, it has traditionally been seen as a specialist area – is it now geared up to meet more mainstream requirements?
The next step in data security
With recent increased privacy concerns and computers becoming more powerful, the chance of hackers being able to crack smaller-sized RSA keys increases.