Investing.com -- Walt Disney Company (NYSE:DIS) said it is extending CEO Bob Iger's contract through 2026, two years longer than originally planned.
The entertainment giant said that in voting unanimously to extend Iger's contract by two years, the independent members of the board noted that the move provides for continuity of leadership during its ongoing transformation, and allows more time to execute a transition plan for CEO succession.
Mark G. Parker, Disney's chairman, said: "Bob has once again set Disney on the right strategic path for ongoing value creation, and to ensure the successful completion of this transformation while also allowing ample time to position a new CEO for long-term success, the Board determined it is in the best interest of shareholders to extend his tenure, and he has agreed to our request to remain Chief Executive Officer through the end of 2026.”
Shares of Disney rose 0.6% in late trading. They are up 3.7% so far this year.
Iger, who was CEO of Disney from 2005 to 2020 and executive chairman and chairman of the board through 2021, returned to the company last November. Since returning as CEO, he has led a significant overhaul.
"There is more to accomplish before this transformative work is complete, and because I want to ensure Disney is strongly positioned when my successor takes the helm, I have agreed to the Board’s request," Iger said in a statement.