The June 2014 edition of Speciality Chemicals includes an article authored by Squire Patton Boggs partner Abby E. Brown and senior attorney Wendy LaDuca: “When Activists Come Knocking”. In the article, they look at how the global chemicals industry can respond to activist shareholders.
The relatively recent rise in shareholder activism has been attracting a lot of attention. Since the global financial crisis, the phenomenon of major investors using their equity stake to campaign for changes in corporate policy, finances and strategy has increased. The trend, already highly visible in the US, is spreading across Europe and elsewhere.
No industry appears exempt when it comes to activism and the global chemicals sector has also been feeling the effects. But exactly what kind of company is it that investor activists are most interested in? And how does a company deter such intervention and how should it deal with activists when they come knocking?
These particular questions were the focus for a detailed discussion on “The Activist Shareholder” that Squire Patton Boggs’ Chemicals Industry Group held at its annual Roundtable for General Counsel in the Chemical & Performance Materials Industries.
The article is reprinted with permission from Speciality Chemicals.