 |
User: Login |
Weblog covering digital business
Digital Business, Live From New York |
| Address URL | http://www.alleyinsider.com/ Registered: 22-Mar-2008 |
| Ads: | |
 Send to email | Yahoo Shareholder Legg Mason Tries to Get Tough With Microsoft, Fails in YHOOMSFT |  By Silicon
el 09-Apr-2008 |
billmiller.jpg: Paste this image in your site, Myspace, Facebook, Ebay copy this code...
 Nothing like negotiating through the press. Yahoo's second largest shareholder, Legg Mason, used the Wall Street Journal to tell Microsoft and Yahoo's other shareholders that Legg, which owns 7% of Yahoo stock, was not cool with Microsoft (MSFT) cutting its Yahoo (YHOO) bid:
Microsoft blundered with the letter this weekend" by
threatening to lower its offer, Mr. Miller said. "Telling the
shareholders you're going to take something away from them is not a way
to get their support."
It's nice to see someone finally publicly stand up for Yahoo--other shareholders and Wall Street are increasingly throwing in the towel--but the news from Legg Mason was not all good. Specifically, the firm's star portfolio manager, Bill Miller, wasn't exactly categorical in his refusal to consider a lower bid. In fact, the way he phrased his remark almost suggests that he'd still take the money and run:
"If Microsoft lowers the price I'm not prepared
to say that's better than Yahoo remaining independent," he said.
Miller also added that the current $29 bid is "not something he's too excited about." This quote especially suggests to us that, although he might not be too excited about it, he'd still take it.
Just as depressing for Yahoo management: Bill Miller now appears happy to take only $32 for his Yahoo stock, which appears to be significantly less than he wanted a month ago:
"If Microsoft raises the offer, the pressure shifts very quickly to
Yahoo to negotiate," he said. "To me, bumping the number up a buck [from $31 a share], that would have a big impact psychologically on
shareholders."
In February, shortly after Microsoft made it's original bid, Bill wrote in a letter to Legg Mason fundholders that Microsoft would need to enhance its bid to get the deal done. Although he didn't mention a specific price he wanted, he did invoke the $40 number that Yahoo itself threw out as a price that Microsoft had been willing to pay. So if Bill would now cheer an offer of $32, that can't be good news to Yahoo.
Also not good news to Yahoo: Miller reportedly dismissed the idea that Yahoo would be able to put together an alternative deal.
See Also: Wall Street Losing Patience With Yahoo
Big Yahoo Shareholder Demands Higher Bid
Photo credit: BusinessWeek
Read 4 times
|
|
 |
| Microsoft-Yahoo Takeover Glitch: Can't Find Dissident Yahoo Board Members* | | One of the next steps in the Microsoft-Yahoo melodrama (MSFT) (YHOO) is for Microsoft to nominate a slate of directors to replace the ones it will try to get fired at Yahoo's shareholder meeting (Jerry, Roy Bostock, et al). The problem? The "word on the street" is that Microsoft can't find anyone willing to take on the job, says the Post's Peter Lauria.
We had assumed that Microsoft coul [..] Read complete article | | Published 27-Mar-2008 by Silicon in YHOOMSFT
Read 0 times. More hits in   |
|
|
Warning We are not responsible of information posted from external feeds. Use this website at your own risk.
Notice: We will not be liable for any direct or indirect loss or damage arising under this disclaimer or in connection with our website, whether arising in tort, contract, or otherwise.
|
|
| |
Hello, Guest
Online: 57 visitors
+ fotos
Like Steve Ballmer, Wall Street appears to be getting tired of Yahoo's waiting game (YHOO).
It has been a while since big shareholders like Legg Mason's Bill Miller came out publi [..] 
Legg Mason's Bill Miller, who control a 5.4% stake in Yahoo (YHOO), says he's hasn't decided whether to throw in with Carl Icahn and crew. But he is sure about what he does want: [..] 
Kara Swisher reveals the details of the latest Microsoft/Icahn Yahoo restructuring proposal, the one that Yahoo rejected on Saturday. Here they are:
Microsoft bribes Yaho [..] 
We didn't expect this week's Yahoo shareholder meeting to be that interesting, and we were right. The interesting part happened the night before, when Time Warner CEO J [..] 
The Yahoo shareholder meeting is likely to be one hell of an anti-climax, but for those who want to watch, here's the link. It's starts at 10AM PT.
Yes, shareholders will vent and, [..] 
