Third Point Sells Bulk Of Yahoo! Shares For $1.2B

Jul 22 2013 | 11:40am ET

Dan Loeb’s Third Point has agreed to sell the bulk of its holdings in Yahoo!, which will result in almost $1.2 billion for the hedge fund.

Yahoo! announced today that it had repurchased 40 million shares from Third Point at a price of $29.11 per share, which is $1.16 billion in value. Following the announcement, the stock immediately fell 3% and as of 11:35 am ET was down 4.75%.

Upon completion of the sale, the hedge fund, which had started out as a thorn in the side of Yahoo!’s board but turned into its saving grace, will own less than 2% of the internet giant. At the same time, Loeb and two other board members—Harry Wilson and Michael Wolf—will step down at the end of the month. Following their resignations, the board will comprise seven members, including Max Levchin, who was appointed as a director upon mutual agreement between Third Point and the board.

"Harry, Michael and I are pleased to have played key roles in Yahoo's resurgence since we joined the Board last spring," said Loeb. "Since our board's rigorous search led us to hire Marissa Mayer as CEO, Yahoo!'s stock price has nearly doubled, delivering significant value for shareholders. I'm confident that with Marissa at the helm and her team's focus on innovation and engaging users, Yahoo! has a bright future."


In Depth

Q&A: MackeyRMS's Chris Mackey On A High Tech Fix To Broker Votes

Jun 23 2017 | 8:17pm ET

The looming implementation of the EU’s MiFID II rules regarding research has put...

Lifestyle

CFA Institute To Add Computer Science To Exam Curriculum

May 24 2017 | 9:25pm ET

Starting in 2019, financial industry executives sitting for the coveted Chartered...

Guest Contributor

Steinbrugge: Asia-Focused Hedge Funds Offer Great Opportunities

Jun 23 2017 | 3:33pm ET

Emerging market strategies have outperformed their developed-market peers for five...

 
Error

From the current issue of