Bringing you live news and features since 2006 

Hedgeweek Comment: Microsoft’s renewed interest in Yahoo! will alert hedge funds

RELATED TOPICS​

Hedge funds will be drooling at the latest news on Yahoo! and Microsoft. Microsoft has declared that it is interested in reopening talks to buy all or part of Yahoo!

Hedge funds will be drooling at the latest news on Yahoo! and Microsoft. Microsoft has declared that it is interested in reopening talks to buy all or part of Yahoo! – if a new board is appointed first.

This announcement, just about a month before the internet company’s (belated) annual shareholders’ meeting, endorses the fading efforts of activist investor Carl Icahn to unseat Yahoo!’s chief executive, Jerry Yang, and the rest of the board that failed to reach an agreement on Microsoft’s earlier takeover offer.

Microsoft says that, with a new board in place, it would be interested in discussing a deal either to assume Yahoo!’s search function ‘with large financial guarantees’ or to buy the company outright.

The opportunities for hedge funds are manifest. Paulson & Co, the New York-based hedge fund manager, has already thrown its weight behind Icahn’s plans to challenge the Yahoo! board by putting forward an alternative slate of directors, on the grounds that the board had acted ‘irrationally’ in refusing the software giant’s USD47.5bn bid.

In May, Paulson disclosed in a regulatory filing it had built up a stake of about 3.4 per cent of Yahoo! With the power of liquidity clearly belonging to hedge funds in the current market environment, expect more funds to join the fray.

Latest News

News came last night from the US that the SEC has approved CBOE’s proposal to list and trade VanEck’s spot..
Irish domiciled funds surpassed EUR4.3 trillion AuM (Assets under Management) at end-March 2024, a 15 per cent increase in net..
European white label ETF platform, HANetf, has announced its total assets under management (AUM) has now exceeded USD4.31 billion...
New research from European ETF provider Tabula Investment Management shows investors are expecting improvements in ESG from the gold mining..

Related Articles

Timothy Rotolo, Range Funds
In 2023, Timothy Rotolo launched his business, Range Fund Holdings, the parent company for Range Indices and Range ETFs, followed...
Dan Miller, IQ-EQ
With just over a week to go till T+1 settlement begins in North America, Canada and Mexico, time is of...
Emily Spurling, Nasdaq
Last October’s ETF Express US Awards 2023 found Nasdaq winning Best Index Provider – ESG ETFs and Best Index Provider...
Vinit Srivistava, MerQube
Index provider, MerQube, launched in 2019, with the aim of providing a “technology-driven answer to the most complex, rules-based investment...
Subscribe to the ETF Express newsletter

Subscribe for access to our weekly newsletter, newsletter archive, updates on the site and exclusive email content.

Marketing by