felixmizioznikov
Activist investor Dan Loeb appears to be suggesting that he’s moving away from his push to have Disney (NYSE:DIS) spin off or sell its ESPN sports network.
Loeb said his hedge fund Third Point now has “a better understanding of@espn ‘s potential as a standalone business and another vertical for $DIS to reach a global audience to generate ad and subscriber revenues,” Loeb tweeted on Sunday. “We look forward to seeing Mr. Pitaro execute on the growth contd.”
Loeb’s comments come after Disney CEO Bob Chapek told the Financial Times in an interview published earlier Sunday that he wants ESPN to remain part of Disney (DIS).
Chapek he has been “deluged” with interest from companies interesting in buying ESPN this year on speculation the company may be considering selling the sports network, the Disney CEO told the Financial Times in an interview. Chapek said the interest showed showed him about the potential for the network.
Chapek told the paper that he has a plan restore ESPN to its “growth trajectory.” He also told the FT that he has “regular conversations” with Third Point head Dan Loeb that he described as “very collaborative, non-antagonistic and collegial.”
Chapek’s comments come after Third Point last month reported a new stake in Disney (DIS) and suggested that ESPN be spun off from the overall company.
Third Point in its Q2 letter to investors last month said that Disney (DIS) was the largest recent addition to its portfolio.
Image and article originally from seekingalpha.com. Read the original article here.