NEW YORK Oct 1 Shares of Apple Inc.
rose about 2 percent on Tuesday on news that billionaire
activist investor Carl Icahn had dinner with Apple chief
executive Tim Cook on Monday and "pushed hard" for a buyback.
"Had a cordial dinner with Tim last night. We pushed hard
for a 150 billion buyback. We decided to continue dialogue in
about three weeks," Icahn tweeted on Tuesday.
In August, Icahn told Reuters that "Apple has the ability to
do a $150 billion buyback now by borrowing funds at 3 percent.
He also said at the time, "If Apple does this now and
earnings increase at only 10 percent, the stock - even keeping
the same multiple currently - should trade at $700 a share."
Tuesday, shares of Apple rose 1.85 percent to trade over
$485 a share.
A source familiar with the matter, who declined to be named
because Icahn hasn't disclosed his holdings in Apple, said the
investor's stake was worth around $1 billion, a fraction of the
company's market value of more than $400 billion.
Cook did not mention the dinner in any tweets on Tuesday.