Elon Musk backs Nelson Peltz in Disney proxy fight after election closes

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Elon Musk backs Nelson Peltz in Disney proxy fight after election closes

Elon Musk is supporting Nelson Peltz in the proxy fight over Disney’s future.

Audiences are waiting with bated breath after last night’s intense voting to select Disney’s board of directors, with CEO Bob Iger’s nominees looking likely to prevail. However, that didn’t stop X/Twitter and Tesla owner Musk from taking to social media this morning to offer his two cents.

He wrote: “Nelson Peltz should definitely be on the Disney board! He will help reform the company, improve product quality and generally work in the best interests of shareholders, as he has done at many other companies. “This will significantly improve Disney’s stock price.”

Musk clarified that he is not a Disney shareholder, but he pinned his first message to the top of his personal X feed. He is known to have a good relationship with activist investor Peltz – the two were photographed together during the premiere in February lolaIt was directed by and starred Peltz’s daughter Nicola Peltz Beckham.

Musk said that if Peltz was elected to the board, he would “definitely” buy Disney shares.

He was responding to a social post by Pershing Square CEO Bill Ackman, which criticized “leaks” to the press about the potential outcome of the vote, pointing the finger at “Disney and/or its advisors” and It was claimed that it could have physical effects. How shareholders vote. Ackman wrote that the SEC should investigate and “appropriately punish whoever is responsible for this miscarriage of shareholder governance and justice.”

The costly boardroom battle for control of Disney has been fiercely fought over the past months, with Peltz’s supporters pointing to a failed succession plan following Iger’s first exit from Disney in 2020. Iger was returned to the position after his successor Bob Chapek was ousted. ,

As reported in our analysis of the vote yesterday, Disney’s board picks have the support of JPMorgan Chase CEO Jamie Dimon, former Disney boss Michael Eisner, George Lucas, Laurene Powell Jobs and the Disney family. Importantly, news reports have suggested that Disney’s second-largest shareholder, BlackRock, is supporting Iger & Co.

Billionaire activist Peltz — whose Trian Partners owns about 1.5% of Disney, including his shares and those of colleague Ike Perlmutter — is competing for one seat and another former Disney bigwig, Jay Russulo. Their bid is backed by proxy advisory service ISS, top pension fund CalPERS and a smaller proxy advisor Egan-Jones. You can add Musk to that list now, although his words came after the polling closed and the question is how much weight they might have had in the first place.

Once the results of the voting are known, attention will turn to who will replace Iger as CEO. His contract runs through 2026, with entertainment division co-heads Dana Walden and Alan Bergman, parks division head Josh D’Amaro and ESPN president Jimmy Pitaro all potential successors. Whatever the outcome, the proxy war has affected the positions of both Disney and Iger.

The results of the vote will be known during Disney’s annual general meeting today at 1pm ET/10pm PT.

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