Report: Billionaire Carl Icahn mulls a proxy fight at Yahoo

Icahn is reportedly marshaling other stockholders to back his bid to oust Yahoo's current board

Billionaire investor Carl Icahn is reportedly mulling a proxy fight to oust Yahoo's board of directors, according to CNBC.

Icahn could not be reached for comment, and a Yahoo spokesperson declined comment.

But people familiar with the matter told CNBC that late last week Icahn began amassing as many as 50 million shares in anticipation of putting up a slate of directors to run against the current board. Yahoo shareholders have until the end of business Thursday to submit an alternate slate of directors. Yahoo's annual meeting will be held July 3.

Earlier this month, Microsoft withdrew its bid to buy Yahoo because the Internet company was demanding a price the software company was unwilling to pay. Yahoo angered many shareholders who claimed the company was not representing their interests and not negotiating in good faith with Microsoft.

According to CNBC, Icahn hasn't been able to get a confirmation from Microsoft that it would be willing to continue negotiations if any or all of Yahoo's board was replaced. However, that might not stop him from launching a proxy fight, CNBC said.

While Icahn might be gearing up for a fight, Yahoo shareholder Eric Jackson, president of Ironfire Capital, has abandoned his bid to replace Yahoo's current board.

Jackson said his advisers cautioned that launching a proxy fight could cost as much as US$1 million in legal expenses, proxy solicitor and mailing costs. He said he decided to give up his effort when he was unable to persuade other shareholders to back him in a proxy fight.

However, Jackson said he's going to launch a "vote no" campaign to persuade shareholders to vote against some of Yahoo's current board members and replace them with new members who are more friendly to the views of Yahoo shareholders.

Join the newsletter!

Or

Sign up to gain exclusive access to email subscriptions, event invitations, competitions, giveaways, and much more.

Membership is free, and your security and privacy remain protected. View our privacy policy before signing up.

Error: Please check your email address.
Keep up with the latest tech news, reviews and previews by subscribing to the Good Gear Guide newsletter.

Linda Rosencrance

Computerworld
Show Comments

Brand Post

Most Popular Reviews

Latest Articles

Resources

PCW Evaluation Team

Christopher Low

Brother RJ-4230B

This small mobile printer is exactly what I need for invoicing and other jobs such as sending fellow tradesman details or step-by-step instructions that I can easily print off from my phone or the Web.

Aysha Strobbe

Microsoft Office 365/HP Spectre x360

Microsoft Office continues to make a student’s life that little bit easier by offering reliable, easy to use, time-saving functionality, while continuing to develop new features that further enhance what is already a formidable collection of applications

Michael Hargreaves

Microsoft Office 365/Dell XPS 15 2-in-1

I’d recommend a Dell XPS 15 2-in-1 and the new Windows 10 to anyone who needs to get serious work done (before you kick back on your couch with your favourite Netflix show.)

Maryellen Rose George

Brother PT-P750W

It’s useful for office tasks as well as pragmatic labelling of equipment and storage – just don’t get too excited and label everything in sight!

Cathy Giles

Brother MFC-L8900CDW

The Brother MFC-L8900CDW is an absolute stand out. I struggle to fault it.

Luke Hill

MSI GT75 TITAN

I need power and lots of it. As a Front End Web developer anything less just won’t cut it which is why the MSI GT75 is an outstanding laptop for me. It’s a sleek and futuristic looking, high quality, beast that has a touch of sci-fi flare about it.

Featured Content

Product Launch Showcase

Don’t have an account? Sign up here

Don't have an account? Sign up now

Forgot password?