As WDW Pro was publishing a video explaining the Disney Earnings Report, huge news broke. Nelson Peltz is ceasing his efforts to get onto the Disney Board and is declaring absolute victory.
BREAKING NEWS
Nelson Peltz bought into Disney with nearly a billion dollars when the company was at $85 a share… it’s now $115. That’s three months for a 35% return on investment. But that’s not the only places that the activist investor and his Trian group won. Here are some of the other requests he had made which came through in the Disney earnings report yesterday:
- Restoration of the Dividend
- More focus on live sports as a branch of Disney’s company structure
- Major cuts to production budgets
- Allusion to Disney Parks capacity increases
The only thing that Peltz really didn’t receive of the major points from his Restore the Magic push: Disney did not offer any concessions on reporting their risks with the Chinese economy / government.
“This was a great win for all the shareholders. Management at Disney now plans to do everything that we wanted them to do.”
— Nelson Peltz
According to The Hollywood Reporter, this officially ends the proxy war effort:
Disney’s proxy battle with activist investor Nelson Peltz is over, with the investor saying Thursday morning that he is abandoning his plans to join the company’s board of directors.
With Peltz declaring unmitigated victory, was there a behind-closed-doors agreement on the China issues he had brought up? Only time will tell. For now though, Peltz remains an outspoken investor with a huge swath of Disney stock. Should the company go back on any of its “concessions,” one might imagine Peltz waging another campaign again in the future. That… or he may just cash out his chips with such a fantastic overall haul.
For all the latest news that should be fun, keep reading That Park Place. This is a breaking news story. We’ll have more as it updates.