disney A proxy battle with entertainment giant investors and his activist firm, Trian Fund Management, took shape on Tuesday, tearing up bids for Nelson Peltz and his board.
Disney said in its securities report on Tuesday that the board is where it needs to move the company forward. The company also defended CEO Bob Iger’s past acquisitions, saying Peltz didn’t understand Disney’s business, lacked the skills and strategy to drive shareholder value. rice field.
“Peltz has no large-cap media or technology track record and no solutions to offer for the evolving media landscape,” Disney said in an investor presentation on Tuesday.
On Thursday, Peltz filed a proxy battle lawsuit with Disney on CNBC’s “Squawk on the Street” after Trian filed a preliminary proxy statement seeking a seat on the board.
Peltz raised questions about the recent decline in shareholder value and Disney’s $71 billion acquisition of Fox in 2019. Trian also raised questions about failed succession plans and Disney’s recent months’ decline. It has been criticized for its lack of corporate governance, including its lack of engagement with Trian.
A Trian representative declined to comment on Tuesday.
Trian said it owns about 9.4 million shares worth about $900 million, amassing several months ago.
Disney went ahead and opposed Trian on Wednesday. Nikewill become the new Chairman of the Board of Directors.
In Tuesday’s filing, the company defended the number of acquisitions it completed under now-returning CEO Iger, including Marvel and Lucasfilm, saying it has enhanced the company’s value for shareholders and transformed the company. Stated.
Disney’s portfolio means it often leads the box office with Marvel movies and ‘Star Wars’ installments. .
With regards to the Fox acquisition, which Peltz took particular issue with in Thursday’s presentation, Disney said Fox would further expand its intellectual property portfolio and give the company a “deep bench” that includes Dana Walden, who is considered a front-runner as a company. said to have provided. The company’s next leader.
When Iger made his shock return at the helm of Disney in November to replace his hand-picked successor, Bob Chapek, when earnings reports were disappointing, he decided to look for his next successor. He said he would only stay for two years. Newly appointed board chairman Parker will lead the process of finding a new CEO, the company said Wednesday.
Disney said on Tuesday it was in the middle of a cost-cutting plan, prioritizing streaming profitability, in addition to a succession plan.
Disney’s stock was volatile in 2022 as it emerged from the early days of the pandemic, when movie theaters and theme parks closed. Slowing streaming subscriber growth also weighed on media stocks last year.
Peltz said on CNBC Thursday that he is seeking a seat on the board so he can access an internal number and let other members know if and when he misses an opportunity.
Disney on Tuesday disputed some of Peltz’s claims about the parties’ conversations so far.
The company said it provided Peltz with an information-sharing agreement. That is, rather than in the board observer role, as Peltz said, he would meet with both management and the board on a quarterly basis. I pointed out the numerous exchanges between
— CNBC’s David Faber contributed to this report.
