Ike Perlmutter, one of Disney’s largest independent shareholders, who reportedly sold his entire stake in the media giant after losing a bitter proxy fight with Mouse House CEO Bob Iger, said he expects the stock price to continue to fall.
The former Disney Marvel chairman sold 25.6 million shares in the months following the April vote, claiming he has no confidence in the company’s current management, according to a report. The Wall Street Journal report The newspaper reported the news on Tuesday, citing communications with the former executive’s investment adviser.
The company’s shares have fallen 26% since April 2, when they closed at a 52-week high of $122.82 ahead of the shareholder vote.
Shares were down more than 3% to $91.22 in midday trading on Tuesday.
Perlmutter said he sold his holdings at an average price just under $115 between early April and mid-July.
He told The Wall Street Journal that he expects stock prices to continue to fall and that he plans to buy back shares if Disney’s stock falls to $65 to $75 a share.
Disney declined to comment.
Perlmutter’s move comes after he handed over control of voting shares to activist investor Nelson Peltz in an ill-fated campaign to secure two seats on Disney’s board of directors.
But shareholders voted overwhelmingly in favor of Disney’s director nominees, giving Iger and his management team a vote of confidence in a major defeat for Pettles and Perlmutter.
Perlmutter built a large stake in Disney after the company bought Marvel, the studio behind blockbuster hits such as “Deadpool & Wolverine,” “Black Panther” and “The Avengers,” for more than $4 billion in 2009.
At the time, Disney shares were trading at $26.84.
