It seems to me like if something like this were to succeed - Icahn forcing the current board out and replacing it with a group whose primary qualification seems to be that they'd approve a sale - Yahoo would lose a lot of leverage to negotiate a favorable price for its shareholders. Does anyone know how that's dealt with? Would he already have agreed to terms with MS before initiating this?
Yahoo lost a lot of leverage when they flipped the bird at Microsoft. A $33/share offer was gold and they left a lot of money on the table. Yahoo is in a really tight corner now with pissed off shareholders. I wonder how likely a merger with Google is at this point of if that would make any sense for Google.