Nelson Peltz Reacts To His Decisive Disney Defeat
When the dust settled at The Walt Disney Company annual meeting yesterday, Disney shareholders resoundingly voted against adding Nelson Peltz to the board.
In a show of strength for both the Disney board and Bob Iger, Peltz only managed to get 31% of the vote. Disney nominee and company director Maria Elena Lagomasino managed to bet the activist investor by a 2 to 1 margin.
Bob Iger, meanwhile, easily won reelection to the board, getting 94% of the vote.
Peltz Pivots His Message
After the most expensive proxy battle in history, Peltz is walking away empty-handed. Following his decisive defeat, however, the activist investor tried to put a positive spin on things.
“While we are disappointed with the outcome of this proxy contest, Trian greatly appreciates all of the support and dialogue we have had with Disney stakeholders. We are proud of the impact we have had in refocusing this Company on value creation and good governance. Since we re-engaged with the Company in late 2023, Disney has announced a host of new operating initiatives and capital improvement plans. The Board has been refreshed with two new directors. Over the last six months, Disney’s stock is up approximately 50% and is the Dow Jones Industrial Average’s best performer year-to-date,” he said.
The idea that Peltz’s proxy battle has benefited Disney has been a talking point for Trian lately. Perhaps reading the writing on the wall, the firm has highlighted Disney’s stock success since Peltz launched his bid for a seat on the board.
Trian Isn’t Going Away
Peltz concluded his statement by wishing Disney the best. He also made it clear that Trian wasn’t going away.
“We thank Trian’s investors for the confidence they have placed in our efforts. And, we wish the best for all of the Company’s stakeholders, including Disney’s Board and management team. We will be watching the Company’s performance and be focusing on its continued success.”