Carl Icahn apparently isn’t happy with the latest talks between Microsoft and Yahoo, and it looks like the financier is using proxies to threaten to push Yahoo into Google’s arms.
Dane Hamilton at Reuters is reporting that Icahn, who holds 9 million shares and options for 49 million more, could attempt to scuttle a deal between Microsoft and Yahoo if it falls short of a complete merger.
“Microsoft is trying to get the milk without buying the cow, and if you look at Icahn’s history, he has never been used that way,” a person described as “familiar with the financier’s thinking” tells Hamilton. “He does not want to see Yahoo pushed into some joint venture with Microsoft and is not going to be used to push Yahoo into it.”
But could Icahn’s eagerness to have a deal now be scuttling Microsoft’s long-term deal plans? UBS analysts are floating the idea that a more limited partnership deal between Microsoft Yahoo could be a a stepping stone to an acquisition. The idea is that since Yahoo announced its refusal to go all the way with Microsoft when it first proposed the deal, perhaps it might relent after a bit of a courtship.
Microsoft move unlikely to win Icahn favor: source [Reuters]
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Carl Icahn
Could Microsoft’s New Yahoo Plan Backfire?
Icahn Friend Says Financier Could Push For Google Deal
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- Use the Bloomberg command
NH BLG_DEALBREAKER <GO>
to access Dealbreaker
I got a delivery of a cheesesteak from DB today! even though it was originally intended for someone else, i’m still a winner. thanks DB. Hope this didnt break the bank.
hahah way to go big r!
(ps you missed happy hour)
@ girl – yea i figured i did. i got kind of busy last week and couldnt keep up w the DB comments re happy hour. i’ll have to be more on my game when round III talks begin.
“The idea is that since
Yahoo announced its refusal to go all the way with Microsoft when it first proposed the deal, perhaps it might relent after a bit of a courtship.”
…so oretty much they’re playing an expensive game of “just the tip”…just to see how it feels.
spot on onetwo. i don’t see how this gets them any closer to the orginal deal. sounds like they’re just trying to appease Icahn and stall.
When does his options expire?
@onetwo – c’mon, just let it happen.
@1:23 Wrong, we all know the game 1-2 is referring to ends up with everyone getting exactly what they are aiming for on the night in question, and then frantic calls to planned parent hood in the immediate future. Yahoo can’t get a little bit pregnant, with a deal “just for search”. Once they’re in bed with the beastmaster, THEY’RE IN BED WITH THE BEASTMASTER
P.S. girl are you cool with 1-2 putting your personal life for all to see in the dealbreaker comments section?
@ RB
if he gets his kicks attributing sexual references to possible mergers who am I to stop him? Certainly has nothing to do with me.
Does anyone underwrite some sort of structured “clusterf&ck” notes on any of the companies involved?
Well one wonders why that analogy was so close at hand….
“Microsoft is trying to get the milk without buying the cow, and if you look at Icahn’s history, he has never been used that way.”
Neither has my wife. Hey-o!
@ Anal_yst: “structured clusterf*ck notes”
I like it.
@2:30: how sure are you of that?
@RB: Why was the analogy so close at hand? It’s called Wedding Crashers. Decent movie. I highly recommend it, even if you aren’t “one of us” capitalist pigs with no hearts.