Investors Don’t Want Microsoft Corporation (NASDAQ:MSFT)’s Gates and Ballmer
As per a proxy filing on Thursday, Microsoft Corporation (NASDAQ:MSFT)’s chairman, Bill Gates and Steve Ballmer, the Chief Executive are standing for re-election to the company’s board. This despite the fact that some investors have not been to happy with the control both of them have on the company, and have been trying to undermine their roles.
The activist investors
Activist investors have been breathing down the necks of Gates and Ballmer. These investors feel that a change at the helm is what the company needs to compete is a highly aggressive market place where big players like Google and Apple are looking for every opportunity to grab as much of the market share as possible. In August, Ballmer had announced that he will be retiring within 12 months. However, that seems to be a forgotten thought. It was 38 years ago that Ballmer had co-founded Microsoft Corporation (NASDAQ:MSFT) with Paul Allen, 38 years ago.
Reuters had reported this week that 3 of the company’s topmost 20 investors have lobbied the company board and have been pressurizing that Gates leave the company. Their stand is that he is not more than a hurdle to fundamental change at Microsoft Corporation (NASDAQ:MSFT). The company has declined to comment on this matter.
The strong hold
There is a distinct possibility that shareholders will re-elect Gates and well as Ballmer at the 19 November annual meeting. Microsoft has not yet named a replacement for Ballmer. They have said that the search is on and that they should have a successor by August 2014. Ballmer will continue in the present post and the company has not announced whether he will continue to serve on the board once the new person is appointed.
Last month, Ballmer was very candid in a Wall Street analysts’ meeting. He said that irrespective of whether he served on the board or not, he will continue holding a major stake in the company.