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Elite investors: Herbalife is legit

Herbalife headquarters in Los Angeles, California.
Jeff Pohlman | CNBC

Two more prominent activist hedge fund managers said that they do not have any issues with Herbalife's business model.

Barry Rosenstein, founder of $10 billion JANA Partners and Jeffrey Ubben, founder of $14 billion ValueAct Capital, said that fellow investor Bill Ackman's belief that the company's practices are illegitimate is wrong.

"I don't think so," Rosenstein said when asked if Herbalife was a pyramid scheme during a panel discussion on activist investing at the Milken Institute's Global Conference in Los Angeles Tuesday.

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