Disney taps Morgan Stanley's Gorman as chairman, plans to name new CEO in 2026

(Reuters) -Walt Disney on Monday named Morgan Stanley veteran James Gorman as chairman and said it would announce a new CEO to replace Bob Iger in early 2026, setting the stage for succession at the storied media and entertainment company.

Gorman will step down as executive chairman of Morgan Stanley at the end 2024 and take on the position at Disney in January. He had served as CEO of the Wall Street bank for 14 years and is credited with transforming the bank into a wealth management powerhouse.

Gorman had orchestrated a CEO succession plan in which Ted Pick took the reins at the same time as retaining the two other candidates, executives Andy Saperstein and Dan Simkowitz, a rarity on Wall Street.

That experience will come in handy at Disney, where Gorman is already since August been heading the committee looking for a successor to Iger, who returned as the company's CEO in 2022 to replace his hand-picked successor Bob Chapek.

Iger, credited with building out Disney's media empire including through the high-profile acquisitions of Pixar, Marvel and Star Wars, has seen his retirement date extend five times.

He had initially planned to stay for two years after coming out of retirement but agreed to extend his tenure through 2026. His contract concludes in December 2026.

Gorman will succeed Mark Parker, who is leaving the Disney Board after nine years. Parker, who also serves as executive chairman of struggling sports retailer Nike (NYSE:NKE ), said he plans "to focus on other areas of my work."

"Drawing on his vast experience, James is expertly guiding the extensive search process for a new CEO, which remains a top priority for the board," Parker said in a statement.

Disney said its board discussed succession planning at each of its regularly scheduled meetings in fiscal 2024 and continues to review internal candidates and external candidates.

CEO CANDIDATES

Reuters had reported last year that four Disney executives are seen as contenders for the role of CEO. Top among them is Disney Entertainment co-Chairman Dana Walden, who is a creative TV executive in the mold of Iger, with a string of commercial and critical successes and strong talent relationships.



Other internal candidates include Disney Experiences Chairman Josh D' Amaro - an executive with Iger-like charisma whose portfolio includes the company's most significant revenue engine, its theme parks - and ESPN Chairman Jimmy Pitaro, the likable executive who is guiding the sports network's digital transition.

Disney Entertainment Co-Chairman Alan Bergman, a Disney veteran who oversees film production and streaming, also may be in the running.

Source: Investing.com