Yahoo struck a deal with activist investor Starboard to add four Starboard-approved directors to its board—including Starboard CEO Jeffrey Smith.
In exchange, Starboard will drop its bid to replace Yahoo's entire board as the once-pioneering Internet company weighs potential sale options.
Smith, along with former Deutsche Bank exec Tor Braham, former Tribune Company CEO Eddy Hartenstein, and Tessera Technologies Chairman Richard Hill, will join the board immediately.
Starboard has previously slammed Yahoo and, by extension, CEO Marissa Mayer for what it called "atrocious performance" and "wasteful acquisitions," previously calling for the company to consider a merger with AOL. SM