Starboard Value LP has proved its mettle as an activist investor by overthrowing the board at Olive Garden’s parent company and pushing a focus on real estate at Macy’s. Yahoo! Inc. -- the latest object of Starboard’s proxy fight agitation -- presents a far bigger challenge.
The hedge fund is pursuing a full sweep of the boardroom at the Web portal with a smaller stake than at past targets -- 1.7 percent -- giving it less clout with less money on the line than some other Yahoo investors. Starboard is also taking aim at a more responsive management team than it has historically toppled, potentially making the idea that Yahoo needs new leadership a tougher sell.
