Feeds

Microsoft cedes board seat to activist investor

Ballmer bowing out as ValueAct storms in

Internet Security Threat Report 2014

Just a week after Microsoft chief Steve Ballmer announced plans for his retirement Redmond has offered activist shareholder ValueAct Capital a seat on the Microsoft board.

Redmond announced the "cooperation agreement" in the late hours of Friday afternoon in San Francisco before the Labor Day three day weekend, which is an ideal time to bury news.

The agreement means ValueAct Capital – one of Microsoft's 15 largest shareholders with 0.8 percent of common stock – will "have the option" of plonking its president Mason Morfit onto Microsoft's board of directors, after the 2013 annual shareholders meeting.

Until the board meeting, the agreement "provides for regular meetings between Mason Morfit, president of ValueAct Capital, and selected Microsoft directors and management to discuss a range of significant business issues," Microsoft said.

ValueAct Capital gobbled $2bn of Microsoft stock in April, and at the time the company's founder, Jeffrey Ubben, said "Microsoft could be the largest cloud company in the world," but bemoaned some of its consumer missteps.

By July, ValueAct was pushing for a seat on the Microsoft board, and also allegedly succession planning for a post-Ballmer world, Reuters reported. At the end of that month, Microsoft announced revenue figures for its Surface consumer slabs that were so poor El Reg termed them "shockingly hideous".

Now, Steve Ballmer is on the way out, and ValueAct Capital has the offer of a seat of the board.

"Our board and management team are committed to enhancing growth and value for Microsoft shareholders, and we look forward to ValueAct Capital's input," Microsoft's departing chief Steve Ballmer, said in the statement. ®

Top 5 reasons to deploy VMware with Tegile

More from The Register

next story
Facebook pays INFINITELY MORE UK corp tax than in 2012
Thanks for the £3k, Zuck. Doh! you're IN CREDIT. Guess not
Facebook, Apple: LADIES! Why not FREEZE your EGGS? It's on the company!
No biological clockwatching when you work in Silicon Valley
Happiness economics is bollocks. Oh, UK.gov just adopted it? Er ...
Opportunity doesn't knock; it costs us instead
Sysadmin with EBOLA? Gartner's issued advice to debug your biz
Start hoarding cleaning supplies, analyst firm says, and assume your team will scatter
YARR! Pirates walk the plank: DMCA magnets sink in Google results
Spaffing copyrighted stuff over the web? No search ranking for you
Don't bother telling people if you lose their data, say Euro bods
You read that right – with the proviso that it's encrypted
Apple SILENCES Bose, YANKS headphones from stores
The, er, Beats go on after noise-cancelling spat
prev story

Whitepapers

Cloud and hybrid-cloud data protection for VMware
Learn how quick and easy it is to configure backups and perform restores for VMware environments.
A strategic approach to identity relationship management
ForgeRock commissioned Forrester to evaluate companies’ IAM practices and requirements when it comes to customer-facing scenarios versus employee-facing ones.
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?
Three 1TB solid state scorchers up for grabs
Big SSDs can be expensive but think big and think free because you could be the lucky winner of one of three 1TB Samsung SSD 840 EVO drives that we’re giving away worth over £300 apiece.
Security for virtualized datacentres
Legacy security solutions are inefficient due to the architectural differences between physical and virtual environments.