Judge Sides With Disney Refusing Fund Demand for Proxy Files
- Backwells didn’t have a ‘proper purpose’ to access records
- Fund focused on Disney’s relationship with ValueAct Capital
Walt Disney Co. doesn’t have to turn over records about its ties to ValueAct Capital Management and the activist investor’s role in a bitter proxy fight at the over the entertainment giant’s board, a Delaware judge concluded.
Blackwells Capital, which sued to get the records, couldn’t show there were “legitimate issues of wrongdoing,” so it should be blocked from seeing the internal files, Delaware Chancery Court Magistrate Judge Selena Molina said Wednesday. Her recommendation won’t become final until it is affirmed by a chancery court judge.