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Jan. 3 (UPI) -- Disney and its CEO Bob Iger secured support Wednesday from ValueAct Capital and Blackwells Capital in a board of directors proxy battle. The investment support deals mean Disney's slate of board nominees will be backed by those investors.
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Billionaire investor Nelson Peltz and his Trian Fund Management company had pushed to join the Disney board in 2023 as Disney opposed his efforts.
He renewed his challenge in December as Trian nominated former Disney CFO James Rasulo and Peltz to the Disney board, claiming Disney had "woefully underperformed its peers and its potential."
The ValueAct deal will guarantee the investment firm backs the board candidates Disney wants at the spring board of directors meeting.
"ValueAct Capital has a track record of collaboration and cooperation with the companies it invests in, and its Co-CEO Mason Morfit has been very constructive in the conversations we've had over the past year. We welcome their input as long-term shareholders," Disney Iger said in a statement.
Iger said ValueAct has confirmed it will support board nominees recommended by Disney management.
"We could not be more excited to partner with Bob and the Board to help create long-term sustainable shareholder value," ValueAct Co-CEO Mason Morfit said in a statement.
Disney investor Blackwells Capital said in a statement Wednesday it will nominate Jessica Schell, Craig Hatkoff and Leah Solivan to the Disney board.
"Ten months ago, Mr. Peltz withdrew Trian's unnecessary proxy fight at Disney. Mr. Peltz would now have shareholders elect him personally, along with a disgruntled former Disney employee," the Blackwells Capital statement said. "Neither candidate has the skillsets Trian claims the Board lacks. Rather, we believe Mr. Peltz's latest effort is driven by animus against Mr. Iger, and an ego-driven urge to claim credit for a transformation already underway.
Blackwells Capital added that "flip-flopping, self-interest and personal quarrels have no place in a boardroom."
The investment firm said the board nominees are highly qualified candidates who "have the necessary backgrounds and expertise to support Mr. Iger's efforts constructively, and complement the Board."
