Peltz calls off Disney fight
February 10, 2023
Activist investor Nelson Peltz has called off his fight with The Walt Disney Company a day after the unveiling of a restructuring plan involving the loss of 7,000 jobs.
The move removes a distraction for CEO Bob Iger, who is seeking to steer the company’s loss-making streaming services towards profitability. Disney shares are up 18 per cent since Peltz announced his intention to join the board less than a month ago, a rise that will mean a substantial profit on his stake of around $900 million (€842.4m).
“The proxy fight is over,” Peltz said, adding that the changes sought by his hedge fund, Trian Partners, had been addressed by the restructuring plan and the entertainment giant’s intention to reinstate the dividend suspended during the pandemic.
Iger’s restructuring announcement sent shares in Disney up as much as nine per cent in after-hours trading.