July 21 (Bloomberg.com) -- Yahoo! Inc. reached a compromise with billionaire activist Carl Icahn, agreeing to give him three board seats to settle a fight for control of the Internet company.
The board will expand to 11 members and current director Robert Kotick will step down, Yahoo said today in a statement. Icahn, 72, will be appointed to the board and the other seats will be filled by two people from a list of nine candidates recommended by Icahn.
In turn, Icahn will withdraw his rival slate. The investor threatened to unseat the board after Yahoo spurned advances from software maker Microsoft Corp. Before the agreement, he vowed to oust Chief Executive Officer Jerry Yang for failing to come to a deal with Microsoft, the world's biggest software maker.
Yahoo rose 1 cent to $22.45 in Nasdaq Stock Market trading on July 18. The stock had dropped 3.5 percent this year before today.
Icahn owns about 5 percent of Yahoo's shares outstanding, which would make him the second-biggest institutional investor, according to data compiled by Bloomberg. Capital Group Cos. is the largest, with units holding approximately 17 percent of the Sunnyvale, California-based company.
Microsoft spokesman Frank Shaw and Yahoo representative Brad Williams didn't immediately respond to calls seeking comment. Susan Gordon, a representative for Icahn, also didn't immediately return calls.
If u are a risky investor looking for a quick buck i would but 1/2 of your $$ in the stock now and if it drops another 10 % - 25 % , buy w/ the other 50 % of your money and see if this merger goes thru u can make some good money !
1 comment:
I think yahoo will stay yahoo.
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