Europe boards counter rising shareholder activism

Author: Tom Young | Published: 9 Apr 2014

As shareholder activism continues to grow in Europe, companies are taking a more proactive approach to engagement to ward off corporate raiders.

Traditionally a characteristic of US corporate M&A, shareholder activism has reached Europe. According to data produced by Skadden Arps Slate Meagher & Flom, activity in the $100 million plus category increased from 22 campaigns in 2010 to 54 in 2013.

The $1 billion plus category has grown from 12 campaigns in 2010 to 28 in October 2013.

"The awareness among boards that they may be targeted by an activist is growing," said Scott Hopkins, partner at Skadden in London. "Traditionally companies were fairly relaxed about it, but as it gathers steam they're becoming more proactive."

Key takeaways

Shareholder activism is on the rise in Europe, and more...