Activist investor Nelson Peltz has called off his proxy fight at Disney, saying he is happy with the corporate restructuring efforts the company announced on Wednesday.
Peltz’s Trian Fund Management launched a proxy fight for a seat on Disney’s board after the company rejected his request to join the board.
- Peltz had criticized Disney’s $71B acquisition of Fox in 2019, which occurred under Bob Iger.
- Peltz argued that Disney overpaid for the company.
- Peltz also criticized Disney’s failed succession planning, which saw Bob Chapek removed from the role of CEO in November and Iger resume the role.
- Disney’s shareholders were set to vote on the issue at the company’s annual meeting in April.
- During its earnings call on Wednesday, Disney shared plans to cut 7,000 jobs and cut $5.5B in costs as part of a corporate reorganization.
- Disney reported $23.5B in revenue for its Q1 FY2023 earnings, up 8% YoY.
- Net income from operations was $1.3B, 99 cents a share, up 11% YoY, and EPS decreased to $0.99 from $1.06 reported same period the prior year.
