Activist Blackwells Raises Concerns about Disney’s Strategy and Transparency
Disney’s Performance Criticized by Investor Blackwells
Disney investor Blackwells Capital has raised concerns about the entertainment giant’s performance. According to Blackwells, Disney lacks a strong content and technology strategy and faces governance and transparency issues. The investor seeks to gain board seats at the company to address these issues.
Blackwells Advocates for AI Strategy at Disney
Blackwells suggests that Disney should develop an artificial intelligence (AI) strategy, which could potentially boost its stock. The investor believes that Disney’s board needs expertise in content, media, technology, and governance best practices to enhance the company’s performance.
Pressure Mounts on Disney from Shareholders
Nelson Peltz’s Trian Fund Management is also campaigning for board seats at Disney. Blackwells has expressed support for CEO Bob Iger’s leadership but proposed potential changes such as a breakup and spinning off park and hotel assets into a real estate investment trust.
Disney’s Founders’ Family Oppose Activist Investors
Last week, the grandchildren of Roy and Walt Disney, founders of the company, defended CEO Iger and the board. They warned shareholders about activist investors targeting Disney, describing them as “wolves in sheep’s clothing.” The family expressed concerns about threats to the company from such investors.
Overall, Disney’s performance and strategy have come under scrutiny from investors like Blackwells Capital and Trian Fund Management. The company faces pressure to address governance, transparency, and content strategy issues to improve its stock performance and satisfy shareholder expectations.
