Q1 2021 Review of Shareholder Activism


Lazard’s Capital Markets Advisory Group | Global Actiivity Stable, Bolstered by U.S. Surge:

• Q1 2021 saw a second consecutive quarter of elevated global activity (53 new campaigns initiated, in-line with Q1 2020 levels) following the pandemic related downturn of mid-2020

• The significant U.S. rebound continues, with 37 new campaigns (up 48% from Q1 2020 levels) accounting for 70% of all global activity

− Q1 2021 U.S. activity is already approaching ~50% of U.S. activity for all of 2020 Global Activity Stable,

− In contrast to late 2020’s emphasis on mega-cap activity in the U.S., three-quarters of all Q1 2021 activity targeted sub-$10bn market cap companies, including Treehouse Foods (JANA), Kohl’s (Ancora, Legion et al.) and eHealth (Starboard and Sachem Head)

− Prominent activists Icahn, JANA and Starboard were among the quarter’s most prolific activists (launching 2 campaigns each), whi le perennially active Elliott launched only 1 new campaign (versus its average of ~4 campaigns launched per quarter since 2017)

• Following a record-setting Q4 2020, activity in Europe pulled back slightly, with only 10 new campaigns initiated

− Institutional investors, occasional activists and new / small-cap activists dominated the new activity, leading 9 of 10 new campaigns

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