Carl Icahn : A Entrepreneur

773 Words Dec 2nd, 2015 4 Pages
Stephanie David
Carl Icahn

Carl Icahn is a financier, entrepreneur, and airline executive who was born in Queens, New York on February 16, 1936. Initially, Icahn wanted to become an opera singer. That, however, turned into receiving a philosophy degree from Princeton University in 1957. He then attended medical school but dropped out three years later to learn the broker’s trade on Wall Street. In 1968, after learning the broker’s trade, Icahn established his own firm. Icahn & Co. was the beginning of his corporate raids. Beginning in the 1980’s, Icahn and his partners started to become enriched by taking over companies. While doing this, Icahn supposedly made money for ordinary stockholders as well. Also in the 1980’s, Carl Icahn engaged in what is called “greenmail.” The term greenmail is referred to as the threat to take over corporations but instead of doing so, he would sell his stocks and walk away with a huge profit. In 1985, Icahn had a hostile takeover of Trans World Airlines. During this takeover, Icahn was selling Trans World Airlines assets to pay back his debt from purchasing the company. In 1988, Carl Icahn made Trans World Airlines private in which he gained an enormous personal profit and then left the airline company in $540 million of debt. Years later, he then sold Trans World Airlines London routes to American Airlines for $445 million. This is just one of many examples of Icahn’s unethical takeovers in his career.
Carl Icahn is most famous for…
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