1. What is the current legal landscape for shareholder activism in your jurisdiction? *)

The primary legal framework relating to shareholder activism (hereafter called ‘Activism’ or Activist’) in Denmark, governing companies listed on Nasdaq Copenhagen, are the Danish Companies Act (Selskabsloven), the Capital Markets Act (Kapitalmarkedsloven), the Executive Order on Takeover Bids (Bekendtgørelse om overtagelsestilbud), and the Recommendations on Corporate Governance (Anbefalinger for god selskabsledelse).

Denmark follows the EU Takeover Directive’s core mandatory bid and shareholder-protection framework, including EU’s Shareholder Rights Directive II (Aktionærrettighedsdirektiv II), which to a very large extent have been implemented into the Danish Companies Act, the Capital Markets Act, and the Executive Order on Takeover Bids, although Denmark has exercised selected opt-outs/flexibilities, e.g. regarding board neutrality and breakthrough rules.

The Danish legal framework offers extensive formal rights to shareholders, particularly in relation to general meetings and board accountability, making Activism legally feasible and increasingly relevant for Danish listed companies.

Hence, in Denmark, Activism is lawful, increasingly accepted, and supported by a relatively strong shareholder-rights framework. The current Danish legal landscape is generally favorable to Activism and traditionally grants shareholders and Activists comparatively strong powers through general meetings, which remains a central governance forum.

Shareholders enjoy substantial rights to engage with management, influence governance, call general meetings, propose resolutions, challenge corporate actions, and organize voting blocs with other shareholders.

The main constraints regarding Activism in regard to Danish listed companies often arise from disclosure obligations regarding shareholdings (starting at 5%) and the prevalence of concentrated ownership structures (by e.g. foundations, families, or controlling shareholders), which can make it difficult for Activists to obtain decisive voting power even when they attract broad minority support.

Historically, Activism in Denmark has been less confrontational than in e.g. the US and the UK. The ‘Danish model’ emphasizes dialogue, institutional stewardship, and corporate governance engagement rather than proxy fights. That said, Activists have become more visible in Danish listed companies over the past 1-2 decades, and in particular the significance of media campaigns influencing and targeting the board and senior management have become increasing important.

As Activism is well-regulated, an early analysis of both the possible intentions of an Activist, as well as the relevant legal framework, is always recommended in any given situation. This also goes as to the involvement of relevant external expertise (legal; financial and capital markets-related; and media/financial PR) as this is often critical for the later outcome. Similar, the same early preparations are relevant for potential Activists.

2. What three essential pieces of advice would you give to clients involved in shareholder activism matters?

The best advice we give to our corporate clients is: Think like an Activist!

The good thing is that, as Activists are typically both exceptionally intelligent, well-funded, and well-researched, companies may learn significant insights into their own markets and their competitors by approaching Activists in a serious manner. And if the company is proactive, a potential Activist situation may well end up as a win-win situation for both the company and the Activist.

To elaborate on this, the company must ask itself and its advisers:

• How can we avoid Activism?
• If we cannot avoid Activism, what do we do if an Activist suddenly knocks on our door, directly, or via the media?

How does a company avoid Activism?

The board of directors and senior management is encouraged consistently to:

• Run the company effectively in the long-term interest of shareholders and other stakeholders.
• Clearly articulate the company’s equity story and value proportion.
• Disclose not only good news but also bad news.
• Perform efficient cash management and capital allocation and ensure that the company has an optimal capital structure.
• Run the company in an operationally optimal manner.
• Ensure transparent and segmented financial reporting.
• To be on the forefront of ESG (environmental, social, and governance) and non-financial/ESG reporting.
• Uncover the hidden value gaps.
• Evaluate and pressure-test strategic and transactional alternatives regularly.
• Benchmark the company against industry peers.
• Review regularly governance policies and board composition and thrive towards best practice.
• Identify the issues that may attract Activists’ attention, and deal with them.
• Communicate proactively in connection with significant events, including M&A.
• Act proactively rather than reactively in the dialogue with investors and equity analysts.
• Ensure regular shareholder engagement and acknowledge that some of the contacts to the most important shareholders, which in some countries earlier solely rested with the CEO and CFO, today more appropriately takes place with the chairperson. In a potentially aggressive Activist situation, a close early and historical relationship with the companies’ major shareholders is key to winning their support rather than this support landing with the Activist.
• If a possibility in respect to selective disclosure rules, consult the company’s major shareholders before putting forward important shareholder proposals at the AGM or an EGM.
• Cater retail investors through digital IR (investor relations) as they often lack loyalty in Activist situations.
• Perform perception studies among equity analysts and institutional investors on an annual or biannual basis, executed in an anonymised manner by an external IR adviser (and sometimes mandated by the chairperson, rather than the CEO, CFO or IRO (Investor Relations Officer), to eliminate any possible conflicts of interest).
• Ensure that the IR function monitors market activity, including strange movements and trading patterns, and keep an updated shareholder register. If the company identifies an investor building a significant shareholding, do not wait until the potential Activist flags a 5% shareholding. Instead, reach out early for a dialogue.
• Recruit and maintain a best-practice IRO and seek a dynamic and proactive IR strategy.
• If approached by an Activist, including a hedge fund Activist, then embrace and listen to them. They are typically very knowledgeable, very well-prepared, and very worthwhile listening to, and the company can typically learn a lot from them. It just requires confidence and an open mind.

If the above is consistently done, the risk of Activism will typically be minimal.

To avoid Activists, it is key for the company not only to think like an Activist – but also to act like one. This requires a best-practice board that focuses on the best long-term interests of the company.

In conclusion, best-practice IR is key to avoiding Activism and the best-practice IRO must also work closely with senior management and the board of directors.

If the company cannot avoid Activism, what does it do if an Activist suddenly comes out of nowhere and knocks on the door – directly, or via the media?

Dealing with potential Activism is, to some extent, like dealing with several other critical issues, e.g. preparing a takeover response manual or preparing an issues management contingency relevant for the company.

Hence, the company is recommended to prepare a detailed contingency – done in advance:

• Map issues based on, e.g. feedback from shareholder engagement; the results of perception studies among equity analysts and institutional investors; and analysts research reports.
• Ensure a constructive response, and possible action points, to any weak points.
• Engage external advisers, e.g. financial adviser (investment bank), lawyers, media and financial PR/IR adviser, and proxy adviser.
• Prepare a takeover response manual (or ‘playbook’), where one scenario may potentially involve addressing a public media campaign by an Activist via all available channels, e.g. the regular channels of company announcements, the media, social media, institutional investor engagement, virtual meetings with retail investors etc., and pre-prepare relevant draft announcements etc.
• Ensure that the company has the right digital and social media (e.g. Twitter/X and LinkedIn) communications competencies, internally or via external advisers. Social media platforms are a powerful platform to counteract a potential aggressive Activist campaign in regard to retail shareholders. However, an aggressive campaign is seldom in the company’s interest as the risks of a damaged reputation is significant.
• Perform fire-drill exercises with all relevant internal and external parties, if deemed relevant. The company must rehearse and be ready to communicate its story and narrative flawlessly and convincingly. Speed is of the essence and getting the company’s narrative successfully out before the Activist is a key to success.

As to the companies’ recommended preparation, action, and contingency, these preparations should be described in the takeover response manual, e.g. the roles of the board, senior management, the IRO (including shareholder engagement), and the use of external advisers.

As with many other things in life – the better prepared, the better the end-result.

In conclusion, our three essential pieces of advice for our corporate clients involved in, or seeking to avoid, Activism matters are:

• Think like an Activist.
• Keep close relations with external advisers, e.g. investment bank (financial and capital markets), legal, and media/financial PR/IR.
• Keep an updated contingency and takeover response manual.

3. What are the greatest threats and opportunities in shareholder activism over the next 12 months?

In the Danish market, Activism has historically been less confrontational than in the US and the UK because many Danish listed companies have controlling foundations, family shareholders, dual-class voting structures, or long-term anchor investors.

However, Activism has become increasingly relevant over the past 1-2 decades, particularly where company performance has disappointed, governance issues emerged, or strategic alternatives are perceived to be underexplored.

Over the next 12 months, we have identified the following as the principal threats and opportunities. In this context, it should be noted that when elaborating on ‘threats’ – as it is also the case with an earlier frequently used term, ‘hostile takeovers’ – these activities may very well end up not bring neither a ‘threat’ nor ‘hostile’ to the company – but may instead later turn out to beneficial for shareholders.

One may note below that there in some cases there is a close link between the areas and activities mentioned below under ‘threats’ and ‘opportunities’.

Greatest Threats

1. Governance challenges at controlled companies

One of the most significant Danish Activism themes is likely to be potential tension between controlling shareholders (foundations, families, industrial owners) and minority investors

These potential debates and clashes are a consequence of the power balance continuing to move towards the market and shareholders – driven by continued pressure on institutional shareholders to perform, and by retail shareholders who are often supported by the financial media (themselves being increasingly aggressive to survive commercially).

Also, Activist campaigns have proven to be more successful over the past 1-2 decades as company board members have become increasing aware of the importance of the personal value of a good public professional image, in particular, including among institutional investors and headhunters, for their personal careers – both in respect to nominations to top management, and later in their careers, their potential selection as non-executive directors to company boards.

Threats include:

• Board independence disputes.
• Succession-planning controversies.
• Related-party governance concerns.
• Concentration of voting power.
• Perceived disregard for minority shareholders.

For Danish boards, reputational Activism may become more important than formal proxy fights due to the less confrontational approach typically seen in Denmark. When a more confrontational approach is seen, it is often driven by non-Danish institutional Activists supported by a local media and financial PR advisers relying on local insights and connections, including to the Danish media.

2. Increased M&A Activism

Globally, Activists are increasingly focused on forcing (relating to non-core assets or businesses):

• Asset disposals.
• Spin-offs.
• Divestitures
• Sale processes.
• Break-ups of conglomerate structures.

M&A-related campaigns have reached some of the highest levels seen in recent years and are expected to remain a dominant Activism theme.

In Denmark, likely targets would be:

• Mid-cap industrials.
• Technology businesses.
• Companies trading at valuation discounts.
• Companies with non-core businesses.

The Danish M&A environment remains active, creating fertile conditions for Activists advocating strategic transactions.

3. Activism targeting capital allocation

Danish companies generally maintain strong balance sheets and conservative capital structures. Activists may challenge:

• Excess cash holdings.
• Suboptimal share buyback policies.
• Dividend levels/policies.
• M&A strategies.
• Low-return investments.

This is especially relevant if macroeconomic uncertainty suppresses earnings growth while cash accumulates.

4. ESG backlash and “Dual Activism”

A growing threat is pressure from both sides of the current ESG debates.

Boards may potentially at the same time face:

• Sustainability-focused shareholder proposals.
• Activists arguing that certain ESG investments destroy shareholder value.

This creates a governance balancing challenge rather than a traditional Activism fight. Over the past around 2-3 years, several larger Danish companies have observed pressure from the US, in general and from selected US institutional investors, for their company policies in the areas of e.g. sustainability and LGBT rights.

5. Rising attention on board effectiveness

Across developed markets, Activists increasingly pursue board refreshment and executive accountability rather than only strategic changes. Board seats and nominations continue to be a primary objective of many campaigns. In respect to Danish boards, the following are seen as target areas:

• Long tenures and independence.
• Skills gaps.
• Weak capital market communication.
• Persistent company underperformance.

Greatest Opportunities

1. Activism as a catalyst for value creation

For institutional investors, Activism can unlock value in Danish companies that have:

• Conglomerate discounts.
• Inefficient capital allocation.
• Underperforming assets.
• Governance inertia.

Danish listed companies contain numerous high-quality niche businesses where operational performance may exceed market valuation. Activism can accelerate strategic reviews and value realization. A recent example of a Danish conglomerate being proactive on this front is the successful May 2026 IPO of listed company Schouw & Co.’s largest subsidiary, Biomar.

2. Constructive engagement instead of hostile campaigns

The Danish corporate culture generally favors dialogue.

The greatest opportunity is likely not hostile Activism but:

• Private engagement.
• Board-level discussions.
• Settlement-oriented outcomes.
• Governance improvements without public confrontation.

Hence, dialogue is encouraged as many Activist objectives are achieved through discussions and negotiated compromises rather than contested votes.

This aligns well with Danish governance traditions.

3. Institutional investors are becoming more active

Institutional investors expect:

• Strong governance.
• Transparent succession planning.
• Better disclosure.
• Clear capital allocation frameworks.

This creates opportunities for coordinated stewardship campaigns that stop short of traditional hedge-fund Activism.

4. Activism around strategic transformation

Danish companies face:

• AI adoption pressures.
• Supply-chain restructuring.
• Energy transition demands.
• Geopolitical uncertainty.

Activists may successfully push management teams to accelerate transformation initiatives rather than merely cut costs.

The most successful Activists over the next 12 months will be those advocating operational improvement rather than financial engineering.

5. Increased focus on minority shareholder rights

Where controlling shareholders dominate voting structures, Activism can serve as a mechanism for:

• Improving disclosure.
• Enhancing board independence.
• Protecting minority shareholder interests.
• Increasing accountability.

This may strengthen market confidence and potentially improve company ratings and valuations over time.

4. How do you ensure high client satisfaction levels are maintained by your practice? ^*)

In respect to Danish companies listed on Nasdaq Copenhagen, professional advisers involved in Activism situations typically to a very large degree measure success by client satisfaction rather than economic metrics.

Activism matters are often high-pressure, highly visible, and involve multiple stakeholders simultaneously – and contain significant reputational risks, both for the company (general reputation and as an investment opportunity), but also for the company individuals involved at the executive level and the company board.

As a result, advisers generally focus on process quality, responsiveness, strategic judgment, and stakeholder management.

Below, we provide our thoughts within our expertise area of both investor relations as well as the media relations and financial PR area. Clients may also use these thoughts to benchmark its external advisers.

The investor relations (IR), media relations and financial PR areas

The advisory role within IR on the one side, and media relations and financial PR on the other side, serve different but closely related roles during both the daily work and in connection with Activism campaigns.

Below, are set out a range of key focus areas to create tangible results for our corporate clients, and to ensure a high perceived level of client satisfaction. 

Deep understanding of shareholder expectations

Our client satisfaction depends on our ability to understand:

• Institutional investor, and retail investor, concerns and sentiment.
• Governance expectations, including voting trends.
• ESG-related issues.
• Market perceptions.

Shareholder intelligence and monitoring

We seek to provide (often in collaboration with other advisers, e.g. financial advisers (investment bank), lawyers, and proxy advisers) management with ongoing intelligence regarding:

• Shareholder views.
• Potential Activist approaches.
• Voting intentions.
• Market narratives.

Message development

We help companies develop:

• Clear equity stories.
• Activism response narratives.
• Q&A materials.
• Investor presentations.

Stakeholder-specific communications

As different stakeholders sometimes require slightly different messaging approaches without creating inconsistencies, we develop tailormade messaging aimed at:

• Activists.
• Long-term institutional investors.
• Retail investors.
• Analysts
• Media

Crisis preparedness

We conduct:

• Activism simulations.
• Board and senior management media training.
• Investor engagement rehearsals.
• Scenario planning exercises.

Data-driven advice

We conduct and facilitate (often in collaboration with other advisers, e.g. financial advisers (investment bank), lawyers, and proxy advisers):

• Shareholder ownership analysis.
• Voting analytics.
• Market perception studies.
• Investor feedback surveys.

Transparency and regular reporting

We provide and define:

• Frequent updates.
• Clear timelines.
• Defined objectives.
• Measurable outcomes.

Reputation protection

We seek to support our clients:

• Protect management credibility.
• Preserve investor confidence.
• Minimize unnecessary market speculation.
• Maintain constructive dialogue with shareholders.

Our ability to serve and provide best-in-class services and advise to our clients, also depends on our deep insight into, and brought network of personal and historic contacts with individual journalists with the media (business, financial, trade, and general), as well as other Danish and international advisers, e.g. investment banks, lawyers, and proxy advisers, as well as with institutional investors, and the Danish Association of Shareholders (DAF).

In practice, we achieve the highest client satisfaction levels within Danish Activism engagements when we simultaneously deliver – often in collaboration with other advisers – both technical expertise and execution, but also a high level of responsiveness, strategic insight, and seamless coordination across a host of different workstreams.

Legal ^*)

Law firms advising Danish listed companies on Activism situations often focus on several factors:

Strategic and commercially practical advice rather than purely legal analysis

Clients generally expect legal advice that is not merely technically correct but also commercially useful. In Activism situations, lawyers help management and boards understand (framed in terms of practical business consequences rather than purely legal analysis):

• Danish company law implications while collaborating with an international law firm regarding international law matters.
• Securities law and disclosure obligations.
• Shareholder rights under Danish law.
• General meeting procedures.
• Board fiduciary duties.
• Potential litigation risks.

Rapid response and accessibility

Activism campaigns can evolve quickly. Law firms often maintain high client satisfaction by:

• Providing immediate availability during critical periods.
• Establishing dedicated response teams.
• Offering clear escalation procedures.
• Delivering concise executive summaries for boards and executives.

Targeted and focused advice

Law firms frequently tailor advice to different audiences as complex legal issues must be translated into concise decision-oriented recommendations, e.g.:

• Board members.
• Executive management.
• Investor relations teams.
• External communications advisers.

Assist in cross-disciplinary coordination

Activism matters frequently involve:

• Legal advisers.
• Financial advisers (investment banks).
• Investor relations, media relations and financial PR advisers
• Proxy advisers.

Anticipating issues before they arise

Anticipate and conduct:

• Vulnerability assessments.
• Governance reviews.
• Shareholder issues.
• Legal Activism preparedness exercises.

Clear risk assessments

Rather than simply identifying risks, law firms often rank them according to:

• Likelihood
• Financial impact.
• Reputational impact.
• Regulatory consequences.

For both ourselves, advising within the IR and media relations and financial PR areas; and for the law firms; it generally brings value to all parties when a post-engagement review and a feedback process as to lessons-learned is conducted as this helps improve future engagements and strengthens long-term client relationships.

5. What technological advancements are reshaping shareholder activism law and how can clients benefit from them? ^*)

In a Danish context, Activism is being reshaped less by changes to core shareholder rights and more by technological developments that affect how shareholders gather information, coordinate campaigns, exercise voting rights, and monitor corporate conduct. These developments have occurred alongside broader EU-driven governance and sustainability reforms that influence shareholder engagement.

So far, technological developments have mainly reshaped Activism-related legal framework in the area of general meetings, i.e. how shareholders exercise existing legal rights under the Danish Companies Act (Selskabsloven), securities regulation, corporate governance frameworks, and ESG-related disclosure regimes. Consequently, the legal impact has mainly been procedural, evidential, strategic, and governance related.

We will no doubt over time witness further future changes in the Danish legal area as a consequence of not only the continued general technological advancements, but also as the implications of AI start to materialize. However, AI is unlikely to create a completely new body of Activism-related law in the near term. Instead, AI is expected to reshape how existing shareholder rights, corporate governance rules, disclosure obligations, and stewardship frameworks are exercised and enforced.

It is therefore expected that the most significant law changes will arise from the interaction between Danish company law, EU shareholder-rights legislation, ESG reporting requirements, and the EU AI regulatory framework (the EU AI Act), the rules of which applies to all EU Member States, including Denmark, and which will be rolled out in pre-determined stages until August 2027. Appropriate AI governance frameworks and tools will also enable investors to monitor compliance continuously rather than periodically.

Below, we set out in summary how technological advancements have reshaped the Activism-related legal framework; how clients have benefited from them; and where some future changes may occur.

Also, when referring to client benefits, we differentiate between corporate listed companies, and Activists, as Reliance A/S from a client perspective assist and advise both these two categories of clients in Activism matters.

1. Virtual and electronic general meetings

The most significant technological development affecting Activism in Denmark has been the normalization of electronic and fully virtual general meetings.

Under §77 of the Danish Companies Act, companies may permit electronic participation and electronic voting and may even conduct fully electronic general meetings if the statutory requirements are met.

Legal impact on Activism

Technology enables Activist to:

• Participate remotely in annual and extraordinary general meetings.
• Submit questions and engage with boards without physical attendance.
• Coordinate voting strategies across jurisdictions.
• Increase participation by institutional and foreign shareholders.

As many Danish listed companies have a relatively significant international shareholder base, electronic meeting technology has reduced traditional barriers to Activism and shareholder engagement. On this background, electronic general meetings may be identified as an important component of shareholder participation rights, and hence Danish shareholder democracy.

Client benefits

Companies:

• Broader shareholder participation.
• More efficient meeting administration.
• Reduced procedural challenges regarding access and voting.

Activists:

• Lower costs of engagement.
• Easier coordination with international investors.
• Greater ability to challenge management decisions.

2. Electronic voting and digital proxy infrastructure

Electronic voting systems are increasingly replacing paper-based voting processes and facilitating proxy solicitation activities.

Legal impact

Activist campaigns often succeed or fail based on voting aggregation. Technology enables:

• Real-time vote monitoring.
• Faster proxy collection.
• More efficient communication with institutional investors.
• Better evidence of voting outcomes and procedural compliance.

This has increased the practical effectiveness of shareholder rights that already exist under Danish company law.

Client benefits

Companies:

• Improve transparency.
• Reduce disputes regarding vote counting.
• Demonstrate stronger governance compliance.

Activists:

• Build voting coalitions more efficiently.
• Conduct data-driven campaigns.
• Reduce costs associated with proxy contests.

3. AI-driven shareholder intelligence, analytics, and Activist campaigns

Artificial intelligence is becoming increasingly relevant to Activism even though Denmark does not currently have Activism-specific AI regulation. AI use is largely governed through broader Danish and EU legal frameworks.

Legal impact

AI tools are increasingly being used by institutional investors, Activist funds, and even smaller shareholders, to:

• Analyze large volumes of corporate disclosures and financial data.
• Identify governance weaknesses and underperformance.
• Predict voting outcomes and shareholder sentiment based on historical voting patterns.
• Develop targeted proxy-solicitation strategies.
• Monitor ESG disclosures and sustainability commitments in real time.
• Measure and evaluate board performance metrics.
• Follow market sentiment.

AI lowers the cost of Activism and enables shareholders to engage more effectively with management and boards. It may also empower smaller investors, who previously lacked the resources of large institutional shareholders, to identify vulnerabilities in governance structures and target resolutions with greater precision.

However, not only Activists, but also Danish listed companies can use AI-driven governance analytics to identify potential Activist concerns before they become a real challenge, e.g. via public campaigns.

Client benefits

Companies:

• Early detection of Activist risks, i.e. our mantra for companies, ‘think like an Activist’.
• Improved IR planning.
• More sophisticated governance risk assessments.

Activists:

• Better identification of potential targets.
• Predictive modelling of voting outcomes.
• More effective engagement strategies.

4. ESG data technologies and sustainability Activism

A growing number of international Activism campaigns focus on ESG matters, sometime aimed at either ‘too much’ or ‘too little’ emphasis put on ESG and ESG reporting.

Denmark’s ESG disclosure obligations increasingly derive from EU legislation such as the Corporate Sustainability Reporting Directive (CSRD). Companies must disclose extensive sustainability information, creating large volumes of machine-readable data.

Legal impact

Technology enables Activists to:

• Compare ESG disclosures across issuers (companies and peers).
• Detect inconsistencies.
• Identify potential greenwashing risks.
• Support shareholder resolutions relating to climate, diversity, or governance.

Client benefits

Companies:

• Earlier awareness of ESG-related Activism risks.
• Opportunities to address governance concerns proactively.

Activists:

• Stronger evidential foundations for Activist campaigns.
• Faster identification of governance weaknesses.

5. Digital shareholder communication platforms

Activism increasingly occurs before formal meetings through digital engagement channels.

Activism often manifests through interaction between boards and significant shareholders before general meetings rather than through formal resolutions alone.

Here, it may also be mentioned that the Danish digital platform and advisory company, HC Andersen Capital, which was founded in 2020, uses technology to create an effective digital platform to increase the relationship between listed companies and in particular retail shareholders by connecting the two parties digitally via e.g. frequent company events and presentations, and company research.

In future Danish Activism situations, HC Andersen Capital’s platform for retail shareholders (alongside the Danish Association of Shareholders (DAF)) is a recommended focus area for both companies and Activists in Activist situations.

Legal impact

Technology facilitates:

• Continuous shareholder engagement.
• Rapid dissemination of governance concerns.
• Coordination among minority shareholders.
• Enhanced transparency regarding board decisions.

Client benefits

Companies:

• Earlier identification of shareholder concerns.
• Reduced likelihood of public Activist campaigns.

Activists:

• Greater influence without litigation.
• Faster coalition building.

6. Governance technology (RegTech and compliance systems)

RegTech platforms increasingly assist companies in:

• Managing shareholder registers.
• Monitoring disclosure obligations.
• Tracking shareholder proposals.
• Managing meeting procedures.
• Recording voting evidence.

Legal impact

These systems strengthen procedural compliance and reduce litigation risk surrounding shareholder rights.

Client benefits

Companies:

• Demonstrate compliance with Danish company law.
• Reduce challenges to meet validity.
• Maintain stronger governance records.

Activists:

• Greater transparency.
• Easier access to corporate information.

In conclusion, the above technologies do not fundamentally alter shareholders’ legal rights under Danish law. Rather, they make those rights easier to exercise, easier to coordinate, and more effective in practice. The result is a gradual shift from traditional shareholder participation toward data-driven, technology-enabled Activism that can be conducted more efficiently, internationally, and strategically than ever before. This gradual shift is expected to continue and will also require and necessary updates of the legal framework, both in Denmark and at the EU level.

General outlook

In Denmark, the most significant future technological drivers of Activism are likely to be AI-powered governance analytics, digital shareholder participation tools, and advanced ESG-monitoring systems. Combined with increasing regulatory emphasis on active ownership, sustainability reporting, and shareholder engagement, these technologies will continue making Activism more data-driven, accessible, and influential.

Notes

^*) It should be emphasized that Reliance A/S is a strategic communications and financial PR firm, not a law firm. Hence, in respect to our clients, we always refer matters of a legal nature to our collaboration partners among the larger Danish law firms. Reliance A/S, however, provides a generic summary overview of selected legal matters for the benefit of the legal-oriented readers. Any final legal conclusions, interpretations, and authorized views, on legal matters will naturally always rest with the major Danish law firms.

General note: Selected parts of the above content are anchored in the international book, ‘Investor Relations and ESG Reporting in a Regulatory Perspective’, co-authored by Poul Lykkesfeldt in collaboration with Laurits Louis Kjaergaard and published in August 2022 by Palgrave Macmillan (a subsidiary of Springer Nature).

Official landing page: https://reliance.dk/new-book-by-poul-lykkesfeldt-laurits-louis-kjaergaard/