Yahoo CEO Marissa Mayer is secretly pitching a “package deal” that would sell Yahoo’s core business under the condition that she remain CEO, according to a report by the New York Post’s Claire Atkinson and James Covert.
The deal is being pitched by Frank Quattrone, the famous banker Mayer has hired, the report said. It didn’t say the number of interested parties in the Mayer/Quattrone deal, but noted that Yahoo has received over 40 “expressions of interest” for its core business so far.
The report is the latest development in a a tumultuous period at Yahoo. Some media reports have painted a picture of dysfunction within Yahoo’s board of directors, as Mayer and some of the other directors each pursue different plans to sell the struggling company.
Yahoo recently formed an independent committee to explore the sales of its internet business, and hired Goldman Sachs, JPMorgan, and PJT Partners to represent the company in a potential deal. Mayer, on the other hand, is working with Quattrone.
Yahoo CFO Ken Goldman told investors the reports of a rift are nonsense, during a talk at a tech conference held on Thursday.
“I want to make it very clear that between management, Marissa, myself, the rest of the management team, and the committee, and the board, we’re actually all aligned in terms of what creates the best shareholder value, and that will be the ultimate criteria of what we end up doing,” Goldman said.
Yahoo is under pressure by activist investor Starboard Value to make changes across the company, including a change in management and the business cost structure. Starboard said in a letter earlier this year that it would launch a proxy fight if its demands are not accepted.
The month-long period to nominate new board members started last week, but there’s hasn’t been any submissions made yet. The NY Post report said that Yahoo’s board will meet with Starboard for the first time next week.
Yahoo was not immediately available for comment.