Yahoo announce $1.798 billion Q2 revenue
Yahoo, which has been struggling on the financial and technology fronts for the past two years, has been embroiled in a corporate soap opera since Microsoft announced a bid to acquire the company in February.
That bid collapsed in May, leading to accusations from shareholders, including Icahn, that Yahoo’s managers and board had purposely sabotaged the negotiations in order to protect their own financial interests, violating their fiduciary duty to shareholders.
Yahoo’s management and board have denied the accusations, which have led to shareholder lawsuits, saying they negotiated in good faith and that ultimately it was Microsoft’s decision to walk away. In the meantime, Yahoo has seen a steady parade of high-profile executives leave the company in recent months.
Yahoo this week managed to reach an agreement with Icahn, who had proposed an alternate slate of director candidates for the Aug. 1 shareholder meeting in order to unseat the entire board. By expanding the board and granting Icahn three seats, Yahoo convinced the billionaire investor to call off the plan. Icahn had indicated previously that his intention was to unseat Yang as Yahoo CEO and attempt to lure Microsoft back to the negotiating table, a possibility that now seems remote.