Greenlight Capital’s David Einhorn has dropped his “silly sideshow” of a lawsuit against Apple. Greenlight holds some 1.3 million shares of the Cupertino firm.
Einhorn’s Greenlight Capital on Friday withdrew the suit it brought against Apple over a proxy proposal that would have allowed shareholders to vote on eliminating preferred stock from the company charter. Last week, Apple yanked that proposal from its shareholder meeting, after a federal judge ruled it had been “impermissibly bundled” with other matters requiring shareholder consideration, and issued an injunction preliminarily blocking a vote on it.
Apple CEO Tim Cook has been quoted as saying Greenlight’s suit was a “silly sideshow.”:
So, it doesn’t mean Apple won’t release preferred share. It means we need to go to common shareholders to get their approval. Frankily, I found it bizarre that we are being sued on that is something good for shareholders, but this is the position we’re in. It’s a silly side show.
A Greenlight spokesman asserted that the suit had served its purpose: “Apple removed the bundled proposal from the shareholder meeting, therefore resolving the issue.”
