Tuesday, 23 August 2016
Last updated 38 min ago
May 14 2012 | 2:12pm ET
Third Point has continued its string of activist successes against Yahoo! Inc., as the company has parted ways with its embattled CEO and given the hedge fund representation on its board.
CEO Scott Thompson resigned yesterday, almost a week after Third Point had demanded his head. The hedge fund said that Thompson, who spent only four months at Yahoo!'s helm, had to go after it found inaccuracies in his résumé and biography—Thompson had claimed to hold a computer science degree when he did not.
Yahoo! also agreed to name Third Point chief Daniel Loeb and two other Third Point representatives, Michael Wolf and Harry Wilson, to its board of directors at its annual meeting this year. The company also named one of Third Point's preferred candidates, global media chief Ross Levinsohn, interim CEO.
"We are confident this board will benefit from shareholder representation, and we are committed to working with new leadership to unlock Yahoo!'s significant potential and value," Loeb, whose hedge fund owns more than 5% of Yahoo!, said.
Thompson's is the second scalp at Yahoo! won by Third Point this year; in January, founder Jerry Yang stepped down after months of criticism from the hedge fund. But his exit may not entirely be due to the hedge fund's work: According to The Wall Street Journal, Thompson, a former PayPal CEO, has been diagnosed with thyroid cancer.