Stay current on changes and developments in corporate law with a wide variety of resources and tools.
By Yin Wilczek
July 14 — Shareholder activists targeted 216 U.S. companies in the first half of the year, a new report finds.
In addition, they targeted 84 companies in other countries, including Europe (31 companies), Canada (21 companies) and Asia (10 companies).
The total number of companies worldwide that faced activist demands—300—represents a 23 percent increase compared to the first half of 2014, according to Activist Insight and Olshan Frome Wolosky LLP's “Half-Year Review 2015.”
The July 14 report also predicted that by year's end, activists likely would have made demands at 500 issuers based on average projection rates from 2010 to 2014.
“By all accounts, 2015 is the year shareholder activism has cemented itself as the ‘new normal' in corporate America,” Olshan Frome Wolosky partners Steve Wolosky and Andrew Freedman wrote in the report's foreword.
According to the report, about two-thirds of activist demands, including shareholder proposals, were at least partially successful this year.
It also noted that the most widely-followed proxy contest in 2015 was veteran activist investor Nelson Peltz's campaign for a seat on DuPont Co.'s board and to split up the 212-year-old chemical company. The bid was rejected by shareholders in May.
Other high-profile fights this year include Carl Icahn's push for eBay Inc. to spin off its PayPal unit and Apple Inc.'s buying back of shares after pressure from Icahn and others.
Companies, meanwhile, are initiating defensive measures in the face of mounting activism. Earlier this month, the U.S. Chamber of Commerce announced that it is forming a coalition to fend off activist investors.
To contact the reporter on this story: Yin Wilczek in Washington at firstname.lastname@example.org
To contact the editor responsible for this story: Ryan Tuck at email@example.com
The report and a related release are available at http://www.prnewswire.com/news-releases/activist-insight-and-olshan-frome-wolosky-release-activism-monthly-premium-the-half-year-review-2015-300112886.html.
All Bloomberg BNA treatises are available on standing order, which ensures you will always receive the most current edition of the book or supplement of the title you have ordered from Bloomberg BNA’s book division. As soon as a new supplement or edition is published (usually annually) for a title you’ve previously purchased and requested to be placed on standing order, we’ll ship it to you to review for 30 days without any obligation. During this period, you can either (a) honor the invoice and receive a 5% discount (in addition to any other discounts you may qualify for) off the then-current price of the update, plus shipping and handling or (b) return the book(s), in which case, your invoice will be cancelled upon receipt of the book(s). Call us for a prepaid UPS label for your return. It’s as simple and easy as that. Most importantly, standing orders mean you will never have to worry about the timeliness of the information you’re relying on. And, you may discontinue standing orders at any time by contacting us at 1.800.960.1220 or by sending an email to firstname.lastname@example.org.
Put me on standing order at a 5% discount off list price of all future updates, in addition to any other discounts I may quality for. (Returnable within 30 days.)
Notify me when updates are available (No standing order will be created).
This Bloomberg BNA report is available on standing order, which ensures you will all receive the latest edition. This report is updated annually and we will send you the latest edition once it has been published. By signing up for standing order you will never have to worry about the timeliness of the information you need. And, you may discontinue standing orders at any time by contacting us at 1.800.372.1033, option 5, or by sending us an email to email@example.com.
Put me on standing order
Notify me when new releases are available (no standing order will be created)