Yahoo Proxy Fight Spills Onto The Web
Yahoo (NASDAQ:YHOO) can’t hide Daniel Loeb’s boardroom battle anywhere. Loeb, the investor who has been trying to proxy fight his way to the company’s board, took his campaign to the cyber world on Monday.
Loeb has launched ValueYahoo.com to act as a mouthpiece for his agenda. The website hosts a mission statement, the profiles of the individuals Loeb hopes to be appointed to Yahoo’s board, and a blog that details the fight. It lets supporters, including other shareholders, subscribe to the site or “like” it on an accompanying Facebook page. Loeb also details a nine-step solution to strengthen Yahoo.
“We believe Yahoo! has lost its way,” the mission statement reads. “Yahoo! should be the destination for news, entertainment, and enjoyment for users and their friends.”
Loeb heads Third Point, which has a 5.8 percent stake in Yahoo. He has been trying to appoint three individuals of his choice, as well as himself, to the board of directors. Yahoo offered to add one of his candidates, Harry Wilson, to the board, but Loeb did not find that step adequate. Yahoo named three new independent directors last month and also has a fairly new chief executive in Scott Thompson.
One of Loeb’s issues with the current board is that the directors don’t understand the web market as well as they should. An online fight gives him the leverage to tell shareholders that he has a better grasp on the workings of the web, a Third Point source told The New York Times.
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