Billionaire activist investor Daniel Loeb backed off from pushing Walt Disney Co. to spin off ESPN, saying he has a “better understanding” of the sports television network’s potential for growth.
This comes after Disney Chief Executive Bob Chapek reaffirmed the value of ESPN to the media company.
“We believe that ESPN is an asset that is well placed within the Walt Disney Company,” Chapek told Reuters.
The investor said in a tweet on Sunday that he looks forward to seeing ESPN Chairman James Pitaro execute on the growth and innovation plans, “generating considerable synergies as part of” Disney.
Loeb, who runs Third Point, in August disclosed a stake of roughly $1 billion in Disney and announced plans to push the company to make a string of changes, from spinning off ESPN to buying back shares and adding board members….