Demonstrating Organization Value as a Defense Against Activism

NACD Global Board Leaders’ Summit Small-Cap Board Committee Forum | Maryland

Shareholder activism today affects companies of all sizes/industries, but may be particularly relevant for small- and mid-cap companies: Companies $100M-$1B (44% of total companies) accounted for approximately 60% of all activist targets in FY2016, and the number of activist campaigns remains high due in large part to newer, often smaller activists targeting small and mid-size companies (60% “first-time activists”). While large institutional investors continue to exert significant influence & increase focus on engagement and governance reform, there are concrete steps every board can take to enhance shareholder transparency and value creation.