Carl Icahn, who holds 6.4% of Motorola stock, has pushed William R. Hambrecht, founder, chairman and chief executive officer of WR Hambrecht + Co. and co-founder of Hambrecht & Quist, and Keith Meister, a managing director of the Icahn investment funds and principal executive officer of Icahn Enterprises, through to be elected to Motorola’s board of directors. Keith Meister has been appointed to serve on the Board, effective immediately.
In exchange, Icahn dropped its current litigation against Motorola and will not engage in a proxy fight.
In addition, Motorola has agreed “to seek input from Mr. Icahn in connection with significant matters regarding the intended separation of the Mobile Devices business, including the search for a new CEO to head the Mobile Devices business”. Hambrecht and Meister are also allowed to communicate with Icahn about Motorola’s board activities, with the exception of topics that are covered by “confidentiality restrictions”.