Valleywag
Yahoo CEO Jerry Yang refuses to negotiate with Microsoft, but Yahoo's largest shareholders aren't so coy. Take Legg Mason portfolio manager Bill Miller's posturing in today's Wall Street Journal, for example. Miller, responsible for the second largest stake in Yahoo, today called Microsoft CEO Steve Ballmer's weekend ultimatum to the Yahoo board a "blunder."
Miller told the Wall Street Journal Microsoft's current bid is already "something I'm too excited about" and that "telling the shareholders you're going to take something away from them is not a way to get their support." Miller said he'd rather own stock in an independent Yahoo than sell his shares to Microsoft at a price below its original offer. But Miller, unlike Yang, isn't vying for an independent Yahoo, people. He made it clear he's looking for a better deal. "If Microsoft raises the offer, the pressure shifts very quickly to Yahoo to negotiate," he told the WSJ. "To me, bumping the number up a buck [from $31 a share], that would have a big impact psychologically on shareholders."
Comments
Meanwhile, Semel is laughing his way to the bank from the mess he created. Its funny that he drove the company into the ground, while earning more than Brad Pitt in 2007
why anyone would invest in Yahoo at any level the past 3 years is beyond me
Yahoo was formidable. Now they'll be part of Windows 7.0.
Yahoo Sunnyvale HQ will be downsized and melded into MS at 370 San Aleso Ave Sunnyvale, CA 94085
Gee, you think the shareholders want more than what the company is worth? Sure I still own Yahoo! stock that I was unlucky enough to buy when it was much higher, but thinking anyone will pay more than $28 a share for this disaster is a joke.
Good thing that Miller wasn't on the 3am phone call from Ballmer to Yang, where he shouted "SHAREHOLDERS" at him for 20 minutes. It wasn't until Ballmer had collapsed, sweaty and exhausted, that he resorted to the dumped boyfriend email.
Incedentally, there was a PS to the letter that was not released to the media, where Ballmer demanded his CDs back.
Fortune pointed out that Miller has lost quite a bit of money on his other investments over the past year (Countrywide, Bear Sterns, etc.). Of course he wants more money and wants a higher price, but he's not exactly in the drivers seat since a bulk of the major shareholders of Yahoo! hold more stock in Microsoft than Yahoo and will lose more money if the bid goes higher than if it goes lower.
What about a Yahoo/Cisco pairing?
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