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Trian has become one of Disney’s largest investors, with a stake in the company valued at over $2.5 billion, according to the Wall Street Journal. This move suggests that Peltz is looking to have a more significant influence on Disney’s strategic direction and decision-making by securing board seats.
If Disney rejects Trian’s request for board seats, Trian could choose to nominate directors for election at Disney’s annual meeting next spring. The period for shareholder nominations typically runs from December 5 through January 4, according to Disney’s proxy materials.
Disney shares rose 1.3% on the news.
Nelson Peltz had previously launched a bid for a seat on Disney’s board earlier this year, but he withdrew his nomination in February after Disney announced a significant reorganization and cost-cutting plan that briefly boosted the company’s stock price.
However, the stock has fallen about 30% since then, which makes Peltz think that shares are undervalued at these levels.
According to the report, Trian Fund Management has significantly increased its stake in Disney in recent months, holding more than 30 million shares.
