CEO Watch Yang Attempts to Sway Shareholders
C.E.O. Jerry Yang began making his case to Yahoo shareholders that his management team acted correctly when it rejected Microsoft's $47 billion takeover offer, the Associated Press reports.
In a 32-page presentation, Yang defended how he handled merger discussions, listing the dates of several meetings he had with Microsoft in an attempt to reopen sales negotiations after Yahoo initially rejected the takeover bid.
"The record casts doubt on whether Microsoft was ever committed to a whole company acquisition," said Yahoo during its shareholder meetings, according to AP.
During the presentation, Yang also reportedly took aim at billionaire investor Carl Icahn, who has aggressively proposed that Yahoo replace its nine directors and revive negotiations with Microsoft.
Yang will have difficulty winning over investors, who are scheduled to vote on the matter during an Aug. 1 annual shareholder meeting.
Yahoo stock recently dipped below $20 a share, a far cry from the $31 a share that Microsoft C.E.O. Steve Ballmer offered when he made his initial $44.6 billion takeover offer. Yang, at the time, wanted $37 a share.
That's a $20 billion loss, according to MarketWatch, which adds that since Yang, since he rejected the Microsoft offer, has reorganized Yahoo management and consolidated power.
Yang will have an additional opportunity to defend his argument during an exclusive media investment conference, according to AP, given that Gordon Crawford and Bill Miller, money managers for Yahoo's two biggest shareholders, will be in attendance.
The Allen & Co. conference, held annually in Sun Valley, Idaho, is renown as a launching pad for some of the biggest deals in media and technology.
