Bank M&A is picking up again, and activists are moving with it. There are more activist campaigns overall, and a larger share are targeting banks, pressuring them to improve results or consider a sale. Activists are also becoming more direct and persistent, often publishing detailed critiques and at times pushing for board seats.
Banks can prepare by tightening the basics before an activist appears, one expert says. Review governing documents for structural weaknesses, monitor shifts in the shareholder base, and build a clear communication plan with supporting materials in advance, among other steps.
Where could your capital strategy or governance be challenged? Are you regularly engaging your largest shareholders? If an activist campaign started tomorrow, would you have a clear plan ready?