Credit: Tokyo Disney ResortNelson Peltz, the billionaire activist investor who attempted to seize control of the Walt Disney Company in February, has been nominated to the Disney board of directors by Trian Partners, the company he founded and is currently chief executive officer of. This marks his second attempt to gain a seat on the Disney board, this time backed by former Marvel Entertainment CEO Ike Perlmutter, one of the largest individual shareholders of the company.
According to a press release from Trian:
“Disney is one of the most iconic companies in the world with unrivaled scale, unparalleled customer loyalty, irreplaceable intellectual property (“IP”), and an enviable commercial flywheel. However, Disney has woefully underperformed its peers and its potential.”
The statement goes on to lay the blame on Disney’s struggling financials on CEO Bob Iger, who returned to lead the company after the brief tenure of Bob Chapek, who was ousted by the board after the company came into conflict with Florida Governor Ron DeSantis.
The statement continues:
“[Disney stock] has underperformed since Bob Iger was first appointed CEO in 2005 – a period during which he has served as CEO or Executive Chairman (directing the Company’s creative endeavors in this role) for all but 11 months. Disney shareholders were once over $200 billion wealthier than they are now.”
In response, Trian has nominated its CEO, Nelson Peltz, for a seat on the Disney board, along with former Disney CFO Jay Rasulo.
Nelson Peltz says via a statement, “To resolve the malaise and crisis of confidence among Disney shareholders, the Board needs fresh perspectives from truly independent directors selected by the shareholders themselves.” For his part, Jay Rasulo says, “The Disney I know and love has lost its way.”
Inside the Magic contacted Trian Partners for a comment on Nelson Peltz and Jay Rasulo being nominated for the Disney board of directors and was directed to the above press release.
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Disney has responded with its own release, largely to confirm that Nelson Peltz and Jay Rasulo had been nominated, saying:
“The Walt Disney Company (NYSE: DIS) confirmed today that Trian Fund Management, L.P., alongside certain affiliates, including Trian’s previously disclosed partnership with Isaac Perlmutter pursuant to which it obtained beneficial ownership of Mr. Perlmutter’s Disney shares (collectively, “Trian”), has provided notice of its intent to nominate two individuals for election to the Company’s Board of Directors at the 2024 Annual Meeting of Shareholders.”
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The nomination of the Trian co-founder and former Disney CEO may have enormous effects on the future of the company, which has seen its financial fortunes flounder in 2023. While Disney remains one of the most powerful media companies in the world, it has also suffered from a series of highly visible box office flops, dwindling theme park attendance, and backlash toward its public battle with Governor DeSantis.
It seems that Nelson Peltz and Jay Rasulo feel they are the ones who will right the ship after Disney CEO Bob Iger, who many feel is likely to be ousted from his position if this proxy battle is successful. Allegedly, Ike Perlmutter’s backing of Trian’s second attempt at a proxy battle takeover is motivated by personal animosity over his firing from Marvel by Disney earlier this year. It seems that Bob Iger may stand a good chance of taking the blame for that, in addition to Disney’s financial woes.
Inside the Magic reached out to Disney for comment, but has not heard back by the time of publishing.
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