Nelson Peltz sells his stake in Disney, weeks after losing proxy fight: report
By Mike Murphy
Activist investor Nelson Peltz has reportedly sold his stake in the Walt Disney Co., weeks after losing a proxy battle for seats on the company's board of directors.
Citing sources familiar with the matter, CNBC reported late Wednesday that Peltz's Trian Partners hedge fund sold its entire stake for about $120 a share, making roughly $1 billion on the sale. Disney shares (DIS) closed Wednesday at $100.88.
Trian declined to comment. Disney did not immediately respond to a request for comment.
In April, Disney shareholders soundly rejected the challenge by Trian, which pushed for board seats for Peltz and former Disney CFO Jay Rasulo. Disney's slate of 12 directors won by what the entertainment giant called a "substantial margin."
In his proxy fight, Peltz had loudly complained about Disney's governance, in particularly its streaming strategy and succession plans to replace CEO Bob Iger.
"While we are disappointed with the outcome of this proxy contest ... We are proud of the impact we have had in refocusing this company on value creation and good governance," Trian said after the vote.
At the time, Trian held about $3.5 billion in Disney shares.
Disney stock is up about 12% year to date, compared to the S&P 500's SPX 10% gain this year.
-Mike Murphy
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05-29-24 1948ET
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