In a series of tweets, Elon Musk has clarified that he believes activist investor Nelson Peltz should be on Walt Disney Co’s DIS board of directors.
What Happened: Musk took to X, formerly Twitter, to express his support for Peltz.
“Nelson Peltz should definitely be on the Disney board! He would help reform the company, improve the quality of products and generally serve in the best interests of shareholders, as he has done at many other companies. This would significantly improve Disney's share price,” Musk wrote.
“While I don't own any Disney shares today, I would definitely buy their shares if Nelson were elected to the board. His track record is excellent.”
Musk shared a post by Bill Ackman, who criticized the alleged leaking of early election returns in the proxy contest between Disney and Peltz. According to Ackman, these leaks, which suggest Disney’s victory, are inappropriate and potentially illegal as they could manipulate the contest’s outcome.
Ackman argues that only Disney and its advisors can access how shareholders have voted before the annual meeting. He suggests that the leaks are likely from Disney or its advisors, as there would be no leaks if Peltz won.
He further explains that leaking the results can affect the outcome as institutional shareholders may hesitate to vote against incumbent directors for fear of losing access to management.
Why It Matters: Musk’s endorsement of Peltz is significant amid Disney’s ongoing proxy battle. As reported by Benzinga, the company is gaining ground in the battle against Trian Partners, with major investors backing the entertainment giant.
Previously, Musk joked about joining the Disney Board as the Chief DEI Officer.
Photo via Shutterstock
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