On the eve of Disney’s centennial celebration, Bob Iger may now be staring down his second proxy war, just a year after returning to the executive role.
After acquiring a $2.5 billion stake in Iger, billionaire activist investor Nelson Peltz is hoping to exert considerable influence on the board by gaining not one but multiple seats on the board. wall street journal.
His firm, Trian Partners, reportedly owns more than 30 million shares, more than quadrupling its holdings, which last reported in mid-August to 6.4 million shares at the end of the second quarter, Valued at $574 million.
Neither Disney nor Trian Partners could immediately respond to requests for comment from wealth for comment.
If Peltz does decide to publicly push for greater influence again, it will be months after his initial failed bid to join the board.
In January, Peltz chose to address competing nominations directly to investors at the annual meeting because he “DisappointedThe board rejected his request for a seat by expanding the number of directors.
Iger and the board countered that he lacked the required expertise and advised shareholders to throw any materials Peltz provided directly into the trash.
Peltz quickly backed down, saying he had secured key commitments from management February That satisfy he.
But the news surrounding Disney’s official 100th anniversary next Mondaythe situation has not improved since the establishment of the board of directors expansion Egger’s contract is for two years.
‘Snow White’ remake reflects Disney’s challenges
A combination of continued heavy streaming losses, a string of commercial failures including Raiders of the Lost Ark Part 5, and concerns about its financial strength ahead of a potential Hulu deal have sent the company’s shares tumbling. to its lowest point in nearly a decade.
Perhaps nothing embodies Disney’s current struggles with reinvigorating its content library more than its latest live-action remake, which aims to spread the word about its first feature film, snow white and the seven dwarfsinto the present.
The 1937 original was such a foundational part of the company’s success story that the diminutive namesake symbolically serves as a stone pillar supporting the facade of its Burbank headquarters.
However, the upcoming movie has Highly controversial Thanks to Gen Z star Rachel Zegler, who is committed to passing throw away rubbish Animated classic.
To further avoid controversy, Disney also appears to be avoiding casting actors with dwarfism, prompting rebuke from community.
This mixture of perceived political agenda as well as an emphasis on rehashing older content, such as with Snow White, has prompted consumers to no longer pay money to see the latest Disney movie or visit its various theme parks in the same numbers as prior to the Pandemic.
Iger needs to prove he can turn things around if he wants to head off further challenges from activist investors like Peltz.
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