Highlights From 2013 And Implications for 2014

During 2013 shareholder activism continued to surge and impact corporate-decision making.  The Delaware courts also handed down several significant rulings during the year.  2013's activist campaigns and court rulings are likely to influence M&A market participants in 2014 and beyond.

Shareholder Activism

While 2013 saw its share of traditional activism focused on corporate governance initiatives, the year is especially notable for the significant number of activist campaigns focused on creation of shareholder value both in the short-term (dividends, buybacks, spinoffs or sales) and the long-term (improved capital management, operational efficiencies, compensation arrangements, or board structure and membership).  Several high profile activist situations in 2013, including campaigns against Apple, Microsoft, Pepsico and Air Products, proved that no company is too large or profitable to attract an activist investor.  With activist funds having outperformed other