The Walt Disney Company (NYSE:DIS) has formally rejected board member candidates put forward by activist investors, including Nelson Peltz.
Chief executive Bob Iger wrote that the company had embarked on an “unprecedented transformation” in becoming cost efficient and that he did “not endorse” the nominees in a letter to shareholders on Tuesday.
Activist investor Trian Fund Management put forward two candidates for Disney's board in December, including its chief executive Peltz.
Former Disney chief financial officer Jay Rasulo was also nominated, with fellow activist investor Blackwells Capital separately putting forward three candidates.
Peltz’s firm, alongside Blackwells, has previously slammed Disney for underperforming despite boasting the likes of “irreplaceable intellectual property”.
Disney instead nominated 12 people for its board in a preliminary proxy statement, including existing sitting members such as Iger.
“The nominees reflect Disney’s ongoing commitment to a strong board focused on the long-term performance of the company, strategic growth initiatives, the succession planning process, and increasing shareholder value,” the company said.
Disney has previously vowed to turn a profit within its struggling streaming business and plans to overhaul its ESPN sports wing.
The company has also said work will be undertaken to drive efficiency at its film studios, alongside boosting growth at Disney theme parks.
"We have already made considerable progress on all four of these opportunities,” Iger added in a letter urging shareholders to support Disney’s board nominations.
“We are continuing to move forward with urgency and clarity," he continued, highlighting that the company was on track to achieve US$7.5 billion in cost reductions.