Did Nelson Peltz Win the Disney Proxy Battle?
They don't call them activist investors for nothing. Trian Partners' Nelson Peltz has reportedly sold his entire stake in Walt Disney (NYSE: DIS), sources have told Barron's, CNBC, and other financial outlets. Peltz unloaded his more than 32 million shares at "close to $120 a share," according to the unnamed source. It's a price point that Disney stock hasn't traded at since April 4, the day after his bid to take over two seats in the media giant's boardroom fell short in a proxy battle.
If the reports are accurate, his timing seems astute in the short run. Disney's shares are down 18% since the annual shareholder meeting eight weeks ago, so Peltz's move -- which freed up nearly $4 billion in stock sale proceeds and a profit of roughly $1 billion to deploy elsewhere -- seems like a smart call. (They don't call them billionaires for nothing.)
Is it the best move for Peltz in the long run? I don't think so. Let's take a closer look.
Source Fool.com
