Walt Disney (DIS.N) CEO Bob Iger hit back at activist investors on Wednesday with a slew of announcements, including a splashy investment in "Fortnite" maker Epic Games and plans to launch an ESPN streaming service in 2025.
Iger revealed the plans after Disney's board of directors authorized a $3 billion share repurchase program for the current fiscal year, and declared a dividend of 45 cents a share, a 50% increase from the dividend paid in January. Earnings-per-share topped Wall Street forecasts.
Together, the moves helped boost Disney shares nearly 7% in after-hours trading.
The company has been under pressure from activist investor Nelson Peltz, who is seeking Netflix-like profit for its streaming business, better box-office performance of its movies and more details about its plans to make ESPN a dominant digital platform.
Peltz is asking shareholders to add himself and former Disney executive Jay Rasulo to the company's board.