Large Apple (AAPL) Holders Back Company as Einhorn Looks to Unlock Value

February 12, 2013 7:28 AM EST
David Einhorn's initiative to get more cash out of Apple might be falling on flat ears.

According to the NY Post, two more large holders of Apple, Inc. (Nasdaq: AAPL) stock are coming out against Einhorn -- of Greenlight Capital -- over whether the "blank check" preferred shares should be eliminated.

The California State Teachers’ Retirement System (CalSTRS) and New Jersey Division of Investment (NJDI) are both siding with Apple. Total assets managed by the two agencies top $227 billion with CalSTRS holding onto 1.6 million Apple shares and NJDI holding 1.8 million.

A rep for the NJDI said it supports "good corporate practices" and Apple's proposal appears to be one. CalSTRS said the preferred shares can be used in anti-takeover activities as well as entrench a board.

The measure -- Proposal 2 in Apple's proxy -- will be up for voting at Apple's Shareholders meeting on February 27th. For more on Einhorn's effort, click here.

Shares of Apple are indicated for a lower open Tuesday.

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