Disney to work With ValueAct in bid to stave off billionaire activist Peltz

Walt Disney said it’s won the support of ValueAct Capital Management for its board nominees and will consult with the activist investor on strategy, as the world’s largest entertainment company responds to pressure to boost performance.

ValueAct has signed a confidentiality agreement that enables Disney to provide the firm with additional information, the two companies said in a statement on Wednesday.

ValueAct’s backing may strengthen Disney Chief Executive Officer Bob Iger’s stance against billionaire activist Nelson Peltz, who’s proposed that he and ex-Disney Chief Financial Officer Jay Rasulo join the board. Peltz’s Trian Fund Management LP said last month that Disney must address “compensation misalignment, governance and succession issues that have plagued the company for decades.”