In a new video for Practical Law, S&C Corporate Governance Practice co-head Melissa Sawyer talks about the importance of boards having a preparedness plan for shareholder activism and hostile bids. Melissa lays out strategies for preparing, responding to and settling with activists, as well as preparing for and responding to hostile tender offers.
 
“The best way to prepare for an activist is not to have an activist, and the way to avoid having an activist is to have great share price performance and to have a great strategy for your go-forward performance,” Melissa says. “But obviously that’s not always possible, and so companies need to be prepared for the possibility that an activist will emerge.”
 
Click here to watch the full video.