The Results Are IN: Disney Wins, Peltz Loses

According to insider information, and now confirmed by an official count, Nelson Peltz has lost his challenge to the Disney board, with Bob Iger and the company coming out victorious.

For months now, activist investor Nelson Peltz has been waging a war against the Walt Disney Company for board seats. His primary argument? Disney (and Bob Iger) doesn’t know what it’s doing when it comes to its strategic direction moving forward, and Peltz believes that he and former Disney CFO Jay Rasulo have some answers to the company’s problems.

(If only it were ever that easy.)

Needless to say, Peltz has made his feelings on the matter very clear and has called out both Disney CEO Bob Iger and the Walt Disney Company itself for its current state.

Since Bob Iger’s return, the Walt Disney Company has undeniably been on a trajectory toward success, even though it has admittedly faced occasional setbacks along the way. However, despite changes that are certainly helping Disney’s prospects, Nelson Peltz remains steadfast in his belief that there is more to be done to secure Disney’s future.

In a notable show of support for Peltz’s stance, Ike Perlmutter, a former Disney executive, has thrown his weight behind Nelson Peltz’s proxy fight, leveraging his considerable stake in Disney to further the activist investor’s campaign for change.

This strategic alliance underscores the depth of concern among certain stakeholders regarding the current direction of the company and the perceived need for additional strategic shifts to ensure long-term growth and stability. But it seems like while Peltz himself might have a lot of confidence in himself, he hasn’t won that confidence from the rest of the voting parties.

Per exclusive insider information reported by Reuters, “Walt Disney Co. has secured enough shareholder votes to defeat a challenge against its board mounted by Nelson Peltz’s hedge fund Trian Fund Management.”

However, Peltz, while certainly the most high-profile challenge to the Disney board, isn’t the only one. Recently, Disney was sued by Blackwells Capital, who demanded more information from the company about its relationship with ValueAct.

But, Blackwells Capital has also been unsuccessful in their attempt to usurp control from the current board, per sources on the inside, and confirmed on the April 3 shareholders call.

While the first reports of this news came from Reuters and were from an anonymous source, the results have now also been confirmed during the April 3 shareholders call. The source had noted that it was entirely possible that some shareholders might change their votes at that time, thereby changing the predicted outcome, but that fear was not realized and Disney has emerged victorious.

As of the publishing of this article, Trian and Blackwells have not yet commented on the proceedings. But, for those Disney fans who were rooting for the Mouse House, it’s certainly been a good call so far!