Icahn And Yahoo Cut Deal…. Peace In Our Time?

It seems the nasty proxy battle between Carl Icahn and Yahoo is over. Yahoo has argeed to hand over three board seats to Icahn in exchange for him dropping the proxy battle. Besides taking a board seat himself, Icahn will be able to recommend two other directors (likely from the bunch that he named as part of his “gang of nine“). Eight of Yahoo’s nine current directors, including Yahoo CEO Jerry Yang, will fill the remaining seats. One Yahoo director by the name of Robert Kotick will not stand for re-election. By the end of this, the Yahoo board will have 11 seats.

This does not however settle the fate of Yahoo in terms of if Microsoft takes some or all of it over. Nor does it likely deal with the fact that Icahn created all sorts of ill will during the proxy battle. So this soap opera is not quite over yet.

Oh yeah, Yang better watch his back.

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