Shareholder Activism, Takeover Defense and Poison Pills Amidst - - PowerPoint PPT Presentation

▶

Feb 05, 2024 114 likes •233 views

Shareholder Activism, Takeover Defense and Poison Pills Amidst Covid-19 4 Old Park Lane 1350 Avenue of the Americas Mayfair Floor Three New York, London W1K 1QW NY 10019 United States United Kingdom www.activistinsight.com US ACTIVIST

SLIDE 1

Shareholder Activism, Takeover Defense and Poison Pills Amidst Covid-19

4 Old Park Lane Mayfair London W1K 1QW United Kingdom 1350 Avenue of the Americas Floor Three New York, NY 10019 United States www.activistinsight.com

SLIDE 2

US ACTIVIST TARGETS AS OF APRIL 30

175 203 241 304 271 320 307 280 2013 2014 2015 2016 2017 2018 2019 2020

NUMBER OF U.S.-BASED COMPANIES PUBLICLY SUBJECTED TO ACTIVIST DEMANDS AS OF APRIL 30 OF EACH YEAR. SOURCE: ACTIVIST INSIGHT ONLINE

SLIDE 3

ROLLING 1-YEAR TOTAL OF ACTIVIST CAMPAIGNS

ROLLING 365-DAY TOTAL OF COMPANIES WORLDWIDE PUBLICLY SUBJECTED TO ACTIVIST DEMANDS VERSUS 365-DAY S&P 500 INDEX CHANGE. SOURCE: ACTIVIST INSIGHT ONLINE

0% 10% 20% 30% 40% 50% 60%

250 500 750 1000 1250 1500 01 January 2014 01 January 2016 01 January 2018 01 January 2020 365 DAY CHANGE IN S&P500 INDEX 1-YEAR ROLLING TOTAL OF ACTIVIST CAMPAIGNS

SLIDE 4

US CONTESTED VOTES FOR BOARD SEATS AS OF APRIL 30

2 6 6 7 4 1 6 2014 2015 2016 2017 2018 2019 2020

NUMBER OF BOARD REPRESENTATION DEMANDS THAT WENT TO A VOTE AT U.S.-BASED COMPANIES AS OF APRIL 30 OF EACH YEAR. SOURCE: ACTIVIST INSIGHT ONLINE

SLIDE 5

US M&A AND BREAKUP ACTIVISM TARGETS AS OF APRIL 30

27 25 34 36 28 42 50 26 2013 2014 2015 2016 2017 2018 2019 2020

NUMBER OF U.S.-BASED COMPANIES PUBLICLY SUBJECTED TO M&A- AND BREAKUP-RELATED ACTIVIST DEMANDS AS OF APRIL 30 OF EACH YEAR. SOURCE: ACTIVIST INSIGHT ONLINE

SLIDE 6

0% 20% 40% 60% 80% 100%

40 80 120 160 200 01 January 2006 01 January 2010 01 January 2014 01 January 2018

ROLLING 1-YEAR TOTAL OF DEFC14A FILINGS

ROLLING 365-DAY TOTAL OF DEFC14A FILINGS VERSUS 365-DAY S&P 500 INDEX CHANGE. SOURCE: ACTIVIST INSIGHT ONLINE

365 DAY CHANGE IN S&P500 INDEX 1-YEAR ROLLING TOTAL OF DEFC14A FILINGS

SLIDE 7

17 11 13 14 20 15 18 49 2013 2014 2015 2016 2017 2018 2019 2020 YTD

NUMBER OF RUSSELL 3000 COMPANIES ADOPTING POISON PILLS

NUMBER OF RUSSELL 3000 COMPANIES ADOPTING A POISON PILL BY YEAR. 2020 DATA AS OF MAY 20. SOURCE: ACTIVIST INSIGHT GOVERNANCE

SLIDE 8

731 608 562 427 422 395 365 364

Basic Materials Healthcare Energy Consumer Cyclical Industrials Technology Consumer Defensive Real Estate

AVERAGE DURATION OF POISON PILLS ADOPTED IN 2020 BY SECTOR

AVERAGE DURATION OF POISON PILLS ADOPTED BY RUSSELL 3000 COMPANIES IN 2020 (AS OF MAY 20) BY SECTOR. SOURCE: ACTIVIST INSIGHT GOVERNANCE

Average for all pills: 470 days

SLIDE 9

20.67% 13.98% 13.00% 10.00% 10.00% 9.61% 8.14% 4.93%

Healthcare Technology Industrials Consumer Defensive Basic Materials Consumer Cyclical Energy Real Estate

AVERAGE OWNERSHIP THRESHOLD OF POISON PILLS ADOPTED IN 2020 BY SECTOR

AVERAGE OWNERSHIP THRESHOLD OF POISON PILLS ADOPTED BY RUSSELL 3000 COMPANIES IN 2020 (AS OF MAY 20) BY SECTOR. SOURCE: ACTIVIST INSIGHT GOVERNANCE

Average for all pills: 10.74%

SLIDE 10