Trumped by thenews of Microsoft’s buyout offer was the resignation late yesterday of TerrySemel as non executive chairman and former chief executive of Yahoo, reports MarketWatch.
Microsoftoffered $44.6 billion to buy Yahoo in an attempt to expand its online businessand compete more effectively with Google. The offer was made in a letter sentThursday by Microsoft Chief Executive Steve Ballmer to Yahoo’s board ofdirectors.One person familiar with the matter told the Wall Street Journal that Microsoft decidedto “go hostile” with its bid within the last few weeks after Yahooignored its latest overtures. The proposal is subject to the negotiation of adefinitive agreement between the two companies. Microsoft is saying a dealcould close in the second half of the year.
Semel servedas CEO of the struggling Internet company from 2001 until last summer, when hewas replaced by co-founder Jerry Yang. Semel will be replaced as chairman bycurrent board member Roy Bostock, the company said.
Bostock, whohas served on Yahoo’s board since 2003, was chairman of advertising agencyBCom3 Group and chief executive of D’Arcy Masius Benton & Bowles. Bostock alsocurrently serves as chairman of Northwest Airlines Corp.