Proactive Investors - With Walt Disney Co (NYSE:DIS, ETR:WDP)’s annual shareholder meeting now just one day away, the entertainment company has reportedly taken the lead in its proxy battle with activist investor Nelson Peltz.
According to a report from The Wall Street Journal citing anonymous sources, Disney’s nominated directors have pulled ahead with more than half of the votes already in.
There is no guarantee Disney will stay ahead, the report said, as investors are still able to cast or change their votes.
The WSJ also reported Tuesday that T. Rowe Price, which holds a 0.5% stake in Disney, has come out in support of the company and CEO Bob Iger.
Among those backing Disney are BlackRock (NYSE:BLK), Disney’s second-largest shareholder with an approximately 4.2% stake, and Star Wars creator George Lucas.
Disney’s two other major shareholders Vanguard and State Street (NYSE:STT) have not yet indicated how they will vote.
In what is believed to have been one of the most expensive proxy battles, activist investor Peltz is seeking seats on Disney’s board for himself and former Disney executive Jay Rasulo to force change at the company.
He has asked shareholders to withhold votes from Disney's nominees Maria Elena Lagomasino and Michael Froman.
Since the start of the year, Disney has reportedly spent $40 million in outreach, including calls to individual retail shareholders, while Peltz’s firm Trian Partners is said to have spent about $25 million.
Disney’s annual shareholder meeting will be held on Wednesday, April 3.
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