Icahn To Yahoo: Microsoft Still Interested In A Major Deal; Can't Negotiate With Current Board

This story was written by Joseph Weisenthal.
Carl Icahn has pulled a new card from the deck in his attempt to win seats on Yahoo's (NSDQ: YHOO) board. In an open letter to Yahoo shareholders, he says he has been in talks with Microsoft (NSDQ: MSFT) CEO Steve Ballmer, and other top execs, and that he is sure Ballmer still wants a major deal with the company. But, he claims, Ballmer will not negotiate with the existing board. His reason: there is too great a risk that Yahoo will be mis-managed between the time a deal is agreed upon and the deal's closing. Says Icahn: "However, Steve made it clear to me that if a new board were elected, he would be interested in discussing a major transaction with Yahoo!, such as either a transaction to purchase the "Search" function with large financial guarantees or, in the alternative, purchasing the whole company." More to come

By Joseph Weisenthal