Third Point’s Dan Loeb Wants Jerry Yang Deposed from Yahoo $YHOO

Hedge Fund Manager Dan Loeb is worried Jerry Yang, the founder of Yahoo, will muck up its sale reports the Wall Street Journal. Loeb, who manages the Third Point hedge fund, is an activist investor, meaning that his fund tends to take positions large enough to give them a say in company management and operations. The idea is that by having a large enough stake, the activist investor can maximize shareholder value. In this case, Loeb thinks that Yang should be deposed.

Dan Loeb Calls for Jerry Yang’s Head

Dan Loeb feels so strongly about Yang’s dismissal, that he sent a letter to the Yahoo board. In that letter, Loeb explained that he is worried about a “leveraged recap transaction the company is pursuing.” The issue is that if the transaction is approved, it “ would give private-equity firms a possible shot at taking over control of Yahoo without buying a majority stake. “Loeb also said he is worried about reports Yang is talking on his own to potential private-equity buyers of Yahoo.” Loeb said, “The Board and the Strategic Committee should not have permitted Mr. Yang to engage in these discussions, particularly given his ineptitude in dealing with the Microsoft negotiations to purchase the Company in 200.”

THIRD POINT

Dan Loeb Also Wants Roy Bostock’s

Dan Loeb isn’t done there. He also “wants two director posts on the Yahoo board,” specifically Loeb wants the seats held by Yang and the one held by Yahoo Chairman Roy Bostock. The Wall Street Journal writes “Loeb’s letter includes a veiled threat (ok, no so veiled) of a campaign to boot off Yahoo’s existing board members.”
Comments
Insider Monkey Small Cap Strategy
Insider Monkey Small Cap Strategy

Insider Monkey beat the market by 52 percentage points in 24 months. Our beta is only 1.2 (don't click this link if beating the market isn't important to you).

Lists

The 8 Best Foods for Gaining Weight

The 10 Most Expensive Colleges in the World

The 7 Most Memorable Ad Campaigns of All Time

The 7 Most Expensive High Schools in the World

The 10 Electric Vehicles with the Longest Range

The 10 Cities with the Worst Drivers in the World

The 10 Most Expensive Dresses Ever Created

10 Islands to Visit Before You Die

10 Famous Celebrities Who Needed Rehab

The 15 Countries with the Largest Oil Reserves

The 10 Most Overused Excuses in the World

The 5 Best iOS Apps You Can’t Get on Android

5 Companies Damaged By Social Media Blunders

The 10 Most Legendary Blues Songs

The 10 Most Lawless Places in the World

4 Reasons China is a Threat to the US

The 17 Most Sugary Drinks in the World

The 10 Most Ruthless Rulers in History

The 10 Greatest Generals in History

Top 8 Travel Destinations for 2015

The 10 Safest Dog Breeds for Children

The 10 Most Stolen Vehicles in the US

The 7 Most Expensive Celebrity Weddings

The 10 Best LoL Teams in the World

Top 10 Worst Marketing Campaigns Ever Produced

Top 5 Diets that Help You Lose Weight

The 10 Best Ways to Stay Awake

7 Artists That Switched Musical Genres

The 10 Most Expensive Cities to Live in New Jersey

The 10 Best High Schools in New York

The 10 Countries With the Least Gender Inequality

The 6 Biggest Musician-Manager Feuds

The 10 Countries with the Cheapest Gas Prices

The 7 Most Theatrical Bands of All Time

The 8 Worst Band Breakups of All Time

The 10 Most Important South American Leaders

The 7 Most Successful Casting Show Winners

The 10 Most Peaceful Countries in the World

5 Big Reasons Communism Failed

The 15 Most Famous Carl Icahn Quotes

10 Scary Animals that are Actually Harmless

The 8 Most Famous Singer-Actors in Entertainment

The 10 Longest Wars of All Time

The 13 Worst Looking Foods that Taste Great

The 6 Most Gruesome Injuries Suffered During a Sports Match

The 20 Biggest Contracts in MLB History

The 7 Worst Blown Calls in Sports History

7 Free Ways to Advertise Your Business Online

The 18 Best R&B Songs of the 90’s

The 10 Most Dangerous States to be a Cop

Subscribe

Enter your email:

Delivered by FeedBurner

X

Thanks! An email with instructions is sent to !

Your email already exists in our database. Click here to go to your subscriptions

Insider Monkey returned 47.6% in its first year! Wondering How?

Download a complete edition of our newsletter for free!