Carl Icahn, an activist investor in Apple, may finally get his way in convincing the company to spend a lot of its cash on a buyback. According to TIME, Icahn recently submitted a proposal to the company detailing his plans for a share repurchase program.
In simple terms, Apple would essentially buy shares back from existing shareholders, while at the same time likely increasing the stock’s value since there are fewer shares available for purchase. Icahn’s concern has been related to Apple’s cash reserves, and he thinks it’s time the company starts spending some of the cash to invest in its future. “Apple is not a bank,” Icahn told TIME.
Apple already executed one of the largest shareholder repurchase programs in history, the company told TIME, but it wants input from the rest of its shareholders too. However, as an activist with a large investment in Apple, Icahn has more pull than the regular joe shareholder. We’ll keep you in the know if anything becomes more official.