Walt Disney announces Bob Chapek as the new CEO to succeed Robert Iger

In its announcement on Tuesday, Walt Disney declared Bob Chapek as the next CEO to succeed Robert Iger who is to exit the position effective immediately. Chapek has been serving the company as the head of Disney Parks for years. Iger, on the other hand, will switch to the position of an executive chairman where he will have the authority to direct Disney’s upcoming creative endeavors until the end of his contract with Walt Disney on 31^st December 2021.

Former Disney Employees Expected Kevin Mayer To Be The Next CEO

In around 100 years of Walt Disney, Chapek will be the 7^th Chief Executive Officer and will be liable to report to the new executive chairman, Robert Iger. Two of the former Disney employees commented on the news and expressed their surprise that the chairman of Disney’s International and Direct to Consumer unit, Kevin Mayer, wasn’t offered the role of the new CEO. Winning around 10 million subscribers on the very first day of Disney+ launch, they added, was sufficient proof of Mayer’s experience and potential at large for the role of the company’s new CEO.

As the new CEO, the company highlighted, Chapek will be responsible for supervising Disney’s corporate functions at all of its businesses. Chapek was brought on board in 1993 and remained in charge of the company’s largest unit. His contributions to Walt Disney include the launch of the 1^st Disney themed park in China and the expansion of Walt Disney World and Disneyland with an all-new Star Wars – Galaxy’s Edge lands.

Iger Expanded Disney’s Brand With Multiple Acquisitions Since 2005

Iger served his role as Walt Disney’s CEO since 2005. During his tenure, the company expanded rapidly with multiple acquisitions including Pixar animation studio (2006), Marvel (2009), Lucasfilm (2012), and 21^st Century Fox (2019). The latter was considered imperative for a successful launch of Disney+.

Disney’s stock responded negatively to Tuesday’s announcement with a 3.6% decline in regular trading and another 2.2% drop in after-hours trading. Disney is currently exchanging hands at around $125 per share in the stock market that marks an around 15% decline in 2020 so far. Its performance in 2019, however, was reported largely upbeat with the stock opening at $108 in January 2019 but closing the year significantly higher at around $145 per share that translates into an over 30% annual gain. Part of the gain in the second half of 2019 was attributed to a successful launch of Disney+.