Disney boardroom battle heats up as investors clash over Iger's leadership: Reports

Tensions are rising at Walt Disney as the company gears up for its annual shareholder election, with just a week left until votes are cast. On April 3rd, shareholders will decide the fate of Disney's boardroom. This year's election has become the most fiercely contested one yet.

As per a Reuters report, a institutional investor threw its support behind CEO Bob Iger and the current board, while another sided with activist investor Nelson Peltz and his Trian Fund Management.

The New York City Retirement System, a major Disney shareholder with a significant financial stake of nearly $300 million worth of stock, believes the company deserves more time to execute its strategic transformation under Iger's leadership.

On the other hand, investment firm Neuberger Berman, which owns 1.4 million shares said they’d be voting to support Peltz and Trian’s second candidate, former Disney chief financial officer Jay Rasulo.

While ValueAct previously managed some of Disney's pension fund assets, they assured everyone that they no longer handle those investments when they began acquiring Disney stock late last year. Their Chief Investment Officer, Mason Morfit, recently spoke about his public support for Iger and the existing board of directors at an investment conference.

In a final push for votes, all parties are engaged in conversations. Both sides are holding in-person meetings and Zoom calls with investors to make their case. Disney, meanwhile, has ramped up its advertising efforts an has constantly been highlighting the developments.

As per the report, Disney’s stock price has climbed 35 percent in 2024, but the stock remains down nearly 40 percent from its record-high close in March 2021.

According to Disney their strong first-quarter earnings and announcements, including plans to partner with Reliance Industries is a clear indication of Iger’s plan to turnaround the company business.