The Week: City news - Icahn joins Yahoo! board

Carl Icahn, who owns 5 per cent of Yahoo! and has demanded the company accept Microsoft's takeover bid, is to join the company's board and withdraw his attempt to replace its directors.

As part of the peace deal, Yahoo!'s board will expand from nine directors to 11 and include two of Icahn's supporters. Icahn will replace Robert Kotick, the current director, and has now toned down his calls for Yahoo! to sell all or part of the business to Microsoft.