We know the activists’ playbooks inside and out. We know which funds are most likely to initiate activism, their styles of engagement, and whether they fight or settle. We know how to engage them, can anticipate how they will dialogue with other institutional investors, and how those investors will react to the campaign.
Activists and hostile bidders often use private and public channels to intimidate management and boards. Latham works with financial advisors, proxy solicitors, and public relations firms to prepare equally forceful responses — against the activist directly, with regulators, in shareholder communications, or, if appropriate, in court. We have been in these trenches many times and the activists and fund principals have learned that we will fight for our clients’ points of view and secure a resolution that meets our clients’ objectives.
Drawing on our experience defending against activist campaigns, we also work with our clients to bolster company defenses before activists strike by assessing vulnerabilities and enhancing governance practices, as well as strengthening relations with investors and other stakeholders. Our team regularly monitors companies around the globe regarding changes in their shareholder base and interactions with activist investors to provide clients with the latest market intelligence. Supported by our careful planning and experienced counsel, we help managers and directors avoid and minimize the disruption of activist shareholders.