Disney Faces Proxy Fight From Activist Investor Nelson Peltz

Disney (DIS) shares are rising 3% in early buying and selling Thursday after activist investor Nelson Peltz and his Trian Fund Administration, which owns roughly $800 million in Disney shares, launched a proxy struggle for a seat on Disney’s board of administrators.

Trian Fund Administration filed paperwork with the Securities and Trade Fee (SEC) yesterday for Peltz’s election as a director at Disney after the corporate denied him a seat on the board. In a press release, Disney mentioned it opposed having Peltz be part of the board. The board is asking shareholders to vote with the corporate at its upcoming shareholder assembly.

The information may complicate plans for CEO Bob Iger, who just lately returned to run Disney after his predecessor, Bob Chapek, was pressured out final yr. Peltz and Trian have expressed opposition to Iger’s return as CEO.

Disney additionally introduced that present director Mark Parker would change into chair, succeeding Susan Arnold. It added that Parker will chair a newly created succession planning committee that may advise the board on the subsequent CEO after Iger serves out his full two-year time period.

Shares of Disney are down 37% over the previous yr.