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Last Updated: Tuesday, 30 January 2007, 15:53 GMT
Icahn eyes seat on Motorola board
Model shows off Motorola phones
Motorola has dropped its prices amid stiff competition
US billionaire investor Carl Icahn is looking to win a seat on Motorola's board, the mobile phone maker has said.

Mr Icahn, who owns a 1.3% stake in the firm, has notified the firm that he would put himself up for the post at the firm's 2007 annual meeting.

Mr Icahn is known for buying stakes in firms in an effort to push through changes to boost shareholder value.

Motorola is currently under scrutiny for falling profits while tough competition has hit handset sales.

Earlier this month the firm said it would be axing 3,500 jobs after profits for the three months to the end of 2006 almost halved to $624m (£316m; 482m euros).

However, while Motorola said it had received notice of Mr Icahn's intentions, it said the note had contained no other details about his plans.

Meanwhile, no date has yet been set for Motorola's meeting nor is it clear how many seats on the board will be up for election.

Shake-up demands

In recent years Mr Icahn has snapped up stakes in US media group Time Warner and building materials maker Temple Inland.

At each company he suggested radical reforms - such as selling off assets - that would either lift the group's shares or create more value for shareholders.

Last year Mr Icahn made an unsuccessful bid to buy Korean tobacco firm KT&G with Warren Lichenstein, head of fund Steel Partners II, in an attempt to take over the firm.

His $10bn (£5.7bn) bid included plans for the sale of some of its assets.

He later reportedly sold his KT&G stake, after shares in the group hit record highs.


SEE ALSO
3,500 to go in Motorola jobs cull
19 Jan 07 |  Business
Motorola alert prompts stock fall
05 Jan 07 |  Business
Icahn 'sells most of KT&G stake'
05 Dec 06 |  Business
Weak results hit Motorola shares
18 Oct 06 |  Business
Blockbuster investors vote on row
12 May 05 |  Business
Time Warner rebels demand split
08 Feb 06 |  Business
Motorola sales close in on Nokia
20 Jul 06 |  Business

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