It seems to me like if something like this were to succeed - Icahn forcing the current board out and replacing it with a group whose primary qualification seems to be that they'd approve a sale - Yahoo would lose a lot of leverage to negotiate a favorable price for its shareholders. Does anyone know how that's dealt with? Would he already have agreed to terms with MS before initiating this?
It will still be the boards responsibility to get the best deal for the shareholders. It is also unlikely that MS could go down from their $33/share bid that they already committed to. But I do see your point.
Yahoo lost a lot of leverage when they flipped the bird at Microsoft. A $33/share offer was gold and they left a lot of money on the table. Yahoo is in a really tight corner now with pissed off shareholders. I wonder how likely a merger with Google is at this point of if that would make any sense for Google.
