For more than a year, activist investor Nelson Peltz has tussled with Disney executives in an effort to gain more influence over the company, culminating in an all-out proxy battle to secure two seats on the board. Based on preliminary results released on Wednesday, shareholders rejected Peltz’s advance, the company said. They also rejected Peltz’s attempt to win a seat for former Disney executive James Rasulo.
Peltz’s firm, Trian, argued that Disney CEO Bob Iger has failed to establish an adequate succession plan and that the firm has mismanaged executive compensation and expenses. Iger initially served as CEO for 15 years before stepping down in 2020, when he passed the torch to Bob Chapek. Less than three years later, he returned after growing unhappy with Chapek’s performance.
Disney’s battle with Peltz heated up in 2022, when the billionaire first broached the topic of board representation. The company rebuffed him, and it appeared the two sides might square off. Trian even sought to embarrass Iger, claiming in a public filing that he tried to schedule a board meeting around plans “to sail his yacht off the coast of New Zealand.”
Eventually, the parties resolved their differences, and Peltz temporarily backed away. But he ultimately determined he wanted more control over Disney’s operations. When the company officially rejected his request for a board seat, he took the matter directly to shareholders.
“It saddens me that the board didn’t welcome me because our goal is just to work with them, to help them and to help them make the company better,” he previously told CNBC.
Peltz—worth an estimated $1.7 billion—has exerted similar pressure on major firms like Procter & Gamble, PepsiCo, and DuPont.
In recent months, the billionaire has assailed Disney’s strategy on his website, RestoreTheMagic.com, and has questioned the creative direction at its subsidiary Marvel.
