There will be no proxy fight at Yahoo's annual shareholder meeting this August 1. Today, Yahoo and corporate raider Carl Icahn agreed to end the fight by awarding Icahn three seats on an expanded, 11-member board. Icahn, who owns 5 percent of Yahoo, told the Wall Street Journal he still wants Yahoo to sell — either the whole company or just its search business at the right price — but that "I share the view that Yahoo's valuable collection of assets positions it well to continue expanding its online leadership and enhancing returns to stockholders."
Today's news became a foregone conclusion when Legg Mason portfolio manager Bill Miller announced he would side with Yahoo against Icahn last week. Some were even expecting today's result as soon as Yahoo rejected Microsoft and Icahn's joint offer a earlier this month. That offer — which if accepted would have sold Yahoo's search to Microsoft and given the rest of the company to Icahn — was Icahn's fatal overreach.
Still, it's disappointing. Not because any of us hoped Icahn would walk away with control of Yahoo's board. But after six months of this saga, we all deserved a riotous, raucous Yahoo shareholders meeting. Maybe we'll still get one — but we'll miss Icahn's technological malaprops. (Illustration by Jackson West/Photo by AP/Lennihan)