3/25/2008 10:58:00 AM
Activist shareholder sues Motorola over targets
Motorola’s shareholder, Carl Icahn, has filed a lawsuit against the handset manufacturer in an attempt to get it to release documents about its handset forecasts. He claims the company’s forecasts have been proven wrong too often.
Icahn, who owns a 6.3% stake in the company, has argued for a long time that Motorola should break-away its devices division. The company actually hinted at the possibility of separating the handset business last month.
Icahn’s actions may seem drastic, but he is said to be in a proxy war with Motorola to get four directors elected to its board at the annual meeting. The company’s former CEO, Ed Zander resisted Icahn’s own attempts to get a place on the board.