Tuesday, October 22, 2024
Year : 2, Issue: 8
Walt Disney said on Monday it would announce a replacement for CEO Bob Iger in early 2026, marking the first time the storied media and entertainment company has formally announced a timetable for succession.
The investor community said the news signalled progress for a company that has struggled to find a successor to Iger, the affable, camera-ready executive who shaped the modern Disney through a series of acquisitions.
Disney said Morgan Stanley veteran James Gorman would become chairman of the board on Jan. 2, after stepping down from his post as executive chair of Morgan Stanley at the end of the year. He served as CEO of the Wall Street bank for 14 years and is credited with growing its wealth management business.
Activist investor Nelson Peltz criticised Disney’s board, saying its mishandling of succession planning resulted in Iger’s return in November 2022, after the board ousted his hand-picked successor, Bob Chapek.
“Important to see Disney making progress on this critically important initiative,” said Richard Greenfield, LightShed partners’ media and technology analyst. “Most interesting is that it implies that Iger is actually leaving after 2026.”
Iger, who built out Disney’s media empire through the high-profile acquisitions of Pixar, Marvel and the Star Wars franchise, has seen his retirement date extended five times.
Upon his return to Disney, Iger initially planned to stay for two years after coming out of retirement but agreed to extend his tenure through 2026.
Disney’s stock closed down 0.68%, but rallied in after-hours trading.
“Drawing on his vast experience, James is expertly guiding the extensive search process for a new CEO, which remains a top priority for the board,” Parker said in a statement.
Source: Reuters
