With activist investors amassing wealth because of their campaigns, investment banks are now providing clients investment advice that would enable companies to anticipate and foil the efforts of activist investors, Bloomberg reported.
Activist investor Carl Icahn reportedly bought 30 to 40 million shares in car rental company Hertz Global Holdings Inc. Sources said that Icahn is the target of the poison pill adopted by Hertz on Monday.
When companies see activist investors as a threat before, a Reuters article said companies are now treating these types of investors as a catalyst for corporate change.
Third Point announced they want to put up around US$322.20 million in its IPO to bolster its underwriting capacity.
Third Point Re announced that they plan raise US$250 million through an initial public offering of its common stock.