Disney proxy fight: Trian to nominate Nelson Peltz and former Disney CFO to board
Trian Fund Management plans to nominate its founder Nelson Peltz and former Disney (DIS) CFO Jay Rasulo to the media giant's board, the activist hedge fund said in a press release on Thursday.
Rasulo worked alongside Disney CEO Bob Iger as his chief financial officer from 2010 to 2015. He was chairman at Walt Disney Parks and Resorts Worldwide from 2005 to 2009 and also served as president of Walt Disney Parks and Resorts from 2002 to 2005.
"The Disney I know and love has lost its way," Rasulo said in the release. "As independent voices in the boardroom, Nelson and I are confident that the combination of my decades of experience at Disney, Nelson’s significant boardroom skills and history of driving positive strategic change, and our combined consumer brands expertise and financial acumen, will be additive to the Disney Board."
Rasulo is the second former Disney exec to publicly join Peltz in his push for a board shakeup. Former Marvel executive Ike Perlmutter has entrusted his stake in the company to Peltz, making up the bulk of Trian's 30 million-plus shares in the entertainment giant.
Disney responded to Trian's nominations with a statement of its own, writing, "Disney has an experienced, diverse, and highly qualified Board that is focused on the long-term performance of the Company, strategic growth initiatives including the ongoing transformation of its businesses, the succession planning process, and increasing shareholder value."
"The Governance and Nominating Committee, which evaluates director nominations, will review the proposed Trian nominees and provide a recommendation to the Board as part of its governance process," the statement continued.
Shares ticked up as much as 2% following the news.
Peltz ended a previous proxy battle against Disney in February after the company committed to various cost-cutting initiatives. He revived the fight this fall as Disney's stock plunged.
Trian said last month it was moving forward with a proxy fight after Disney turned down its request for board representation. At the time, a source familiar with the matter told Yahoo Finance that Trian is seeking multiple board seats at the company.
Iger spoke about the activist fight at the New York Times DealBook Summit earlier this month.
"We have to obviously contend with them in some form," Iger said of Peltz and Trian. "I’m certain that the board will hear them out in terms of what their plans are, what their ideas are."
Still, Iger said he's not focused on the battle in the near term: "I have a lot to do. I’m not going to get distracted by any of that."
Alexandra Canal is a Senior Reporter at Yahoo Finance. Follow her on Twitter @allie_canal, LinkedIn, and email her at alexandra.canal@yahoofinance.com.
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