To Avoid Activist Investors, Think Like Them
To Avoid Activist Investors, Think Like Them
1 PagesActivist investor campaigns are increasing, with nearly 1,000 occurring each year, mostly targeting large companies. While two-thirds of CFOs believe they are prepared for activist pressure, only about half actually have a formal response plan. Nearly a quarter of CFOs have already faced activist campaigns, and many expect to be targeted within the next two years. Most recent campaigns focused on large- and mega-cap firms. However, activists often create disruption rather than value, with only a minority of CFOs saying campaigns improved company performance, while many report significant management distraction. Proactive preparation is essential to reduce risk.
