Yahoo!'s Santa Monica location. Embattled CEO Scott Thompson was caught faking his resume and could resign this week.
It's unclear whether Scott Thompson, the Yahoo CEO who was caught faking his resume last week by activist hedge-fund investor Dan Loeb of Third Point, will stay or go as the latest leader of the embattled Internet giant. The Guardian suggests he could be gone this week. But it also fudges a bit, quoting Colin Gills of BGC Financial, who says that canning Thompson would be a major setback for Yahoo's turnaround plans.
In any case, who is this Dan Loeb, owner of almost 6 percent of Yahoo and a perpetual thorn in the side of the company's management and board?
He's a man who's unafraid to express his outrage, as it turns out. But his vehicle is so old-fashioned that it's almost charming. Last week, he attacked Thompson using the form of communication that predates the Internet, search engines, hedge funds, iPhones, automobiles, indoor plumbing, the United States of America, and sea voyages under sail. That's right, he wrote a...letter.
Yahoo!'s Santa Monica location. A shareholder proxy battle may loom.
Recently, Yahoo admitted that it can't come to terms with Dan Loeb, who runs a hedge fund called Third Point that owns a decent percentage of the struggling Internet company and really, really doesn't like where Yahoo is going. Yahoo isn't nuts about Loeb, either — and said so when it revealed that it isn't going to let him gain a seat on the board on directors.
Loeb owns almost six percent of the company and has been making noise for months now about undertaking a proxy battle for control the Yahoo board. He's been extremely un-quiet about what he thinks Yahoo is doing wrong, going so far as to establish a website, valueyahoo.com, which outlines Third Point's case for turning Yahoo around and replacing four board members with its own slate.
Here's the vision that Loeb & Co have outlined:
President Obama might have, most of the time, big-gun public intellectuals like Paul Krugman and Robert Reich in his camp. Mitt Romney has Harvard economist Greg Mankiw advising him. And Ron Paul? Mr. Black Swan himself, Nassim Taleb, says that Dr. Paul is the only candidate who's "saying the right things" and has the "guts" to take on the Federal Reserve.
Not surprisingly, it actually seems pretty black and white with Taleb. He's worried about hyperinflation (not regular old run of he mill inflation-inflation, mind you). And he thinks that the only way to fix the financial system to treat government like cancer — in the video above, which I picked up from the Paul campaign's website, he refers to "metastatic" government at least twice. Taleb is himself a cancer survivor, so you can understand his metaphor in that light. But there are plenty of other people who are making this argument. That said, they don't have Taleb's intellectual heft.
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Time is running out for Dodgers owner Frank McCourt to choose a new owner before opening day. The number of bidders is now down to four. There've also been a few surprises late in the game.
We have roughly two weeks remaining before Dodgers owner Frank McCourt must sell the team. Bidders have been dropping like flies, leaving only a March Madness-appropriate Final Four groups. It remains to be seen whether all four will make it to McCourt's final auction — the Major League Baseball owners doing the eliminating will first send the finalist to a vote by all owners.
Regardless, McCourt has to conduct his auction and choose a winner by the first week in April. The money must change hands by April 30.
Here's who's left:
•Hedge-fund billionaire Steven Cohen, along with sports agent Arn Tellem and new partners Tony La Russa, the baseball great, and Patrick Soon-Shiong, an Angeleno whose personal wealth is estimated at over $7 billion.
•Former Laker great Magic Johnson, Stan Kasten, plus a new financial partner (see below).
Kevork Djansezian/Getty Images
It's getting close to decision time for Frank McCourt on choosing a winning Dodgers bidder.
We're getting down to the wire in the bidding for the Los Angeles Dodgers. Owner Frank McCourt is expected to conduct a final auction in time to announce a winning bidder by the first week in April, with the money changing hands and the team officially emerging from bankruptcy by April 30.
Right now, with the bids all in, the various parties who want to buy the team are being vetted by Major League Baseball. Some of the final bidders have fallen by the wayside — notably surprise late entry Jared Kushner, who owns the New York Observer and is Donald Trump's son-in-law. Grant Brisbee has the most recent lowdown. Seems that five bidder-groups are likely to pass MLB muster.
I was a bit stunned to learn that Magic Johnson and Stan Kasten — the local favorites after Rick Caruso and Joe Torre dropped their bid — have put up the highest dollar figure at $1.6 billion. I didn't think anyone would outbid Steven Cohen, the hedge fund guy who's reportedly worth $8 billion on his own. Cohen's bid is evidently $1.4 billion, according to Brisbee. But Forbes thinks — as I do — that Cohen is the only bidder with enough money essentially already in the bank to write Frank McCourt a big check. That's the way Forbes' Mike Ozanian is spinning it, anyway.