View all newsletters
Receive our newsletter - data, insights and analysis delivered to you
  1. Technology
  2. Software
February 25, 2013

US Judge blocks Apple’s planned shareholder vote

Apple said it is disappointed with the court's ruling.

By CBR Staff Writer

Apple has dropped its planned vote of shareholders after a US federal judge granted a request by American hedge fund manager, David Einhorn, to block the company from holding a vote scheduled for 27th of this month.

US District Court, Judge Richard Sullivan, backed a lawsuit by Einhorn, who sought for Apple to disburse more of its $137bn cash pile to its shareholders.

In his lawsuit, Einhorn urged all shareholders to vote against Proposal 2 in Apple’s proxy, which eliminates the company’s ability to issue preferred stock.

Sullivan said Apple was wrong to bundle four amendments and ruled that shareholders should get to vote on the amendments separately.

Apple said: "We are disappointed with the court’s ruling. Proposal 2 is part of our efforts to further enhance corporate governance and serve our shareholders’ best interests."

"Unfortunately, due to today’s decision, shareholders will not be able to vote on Proposal #2 at our annual meeting next week," the company said.

Recently, a regulatory filing suggested that Einhorn increased his stake in Apple by about 50% in the fourth quarter of 2012.

Content from our partners
Powering AI’s potential: turning promise into reality
Unlocking growth through hybrid cloud: 5 key takeaways
How businesses can safeguard themselves on the cyber frontline

Earlier this month, Apple has been sued by a Pennsylvania investor, Brian Gralnick, in order to stop the company from holding a shareholder vote on two proxy proposals.

Websites in our network
Select and enter your corporate email address Tech Monitor's research, insight and analysis examines the frontiers of digital transformation to help tech leaders navigate the future. Our Changelog newsletter delivers our best work to your inbox every week.
  • CIO
  • CTO
  • CISO
  • CSO
  • CFO
  • CDO
  • CEO
  • Architect Founder
  • MD
  • Director
  • Manager
  • Other
Visit our privacy policy for more information about our services, how Progressive Media Investments may use, process and share your personal data, including information on your rights in respect of your personal data and how you can unsubscribe from future marketing communications. Our services are intended for corporate subscribers and you warrant that the email address submitted is your corporate email address.
THANK YOU