Search Engine Optimization News Blog

Yahoo’s board of directors may be reconsidering their refusal of Microsoft’s offer earlier this month. Carl Icahn, a billionaire investor in Yahoo stock, has launched a not so subtle campaign to have the board ousted. He cites gross mismanagement on the part of the board in turning down Microsoft’s offer of nearly 50 billion, and there is a following of disgruntled stockholders who agree.

Microsoft is now in the position of being a possible ‘white knight’ to rescue Yahoo - but on their own terms. An offer is supposedly on the table, not for a full acquisition, but for a ‘transaction’.

The details of what this ‘transaction’ might consist of have not been released, but hints that it has to do with bolstering the companies’ position in the online search and advertising markets have been dropped - an interesting concept; last we heard, Microsoft was concerned about a possible ad partnership between Yahoo and the more powerful Google.

Microsoft’s spokespersons insist that the former acquisition deal that was withdrawn May 3^{rd, but claim that all options are being kept open at this point.}Meanwhile, Icahn leads a mutiny, and unless talks with Microsoft are reopened before the annual shareholders’ meeting on June 3rd he threatens to overturn the board in a palace coup. He claims that the current board ‘completely botched’ the merger talks with Microsoft, and that the company shareholders have ‘lost faith’ in the existing board.

Will Icahn take over Yahoo? Or will Microsoft ride to the rescue? Ironic, since Icahn claims that’s all he wanted in the first place…