As the U.K. Market Fuels Growing Interest from Domestic and International Activists, Investors Have Adapted their Approach to Gain Access to Boardrooms in Germany and Italy

The U.K. remains Europe’s most active market for shareholder activism, with a 44% year-on-year increase in targeted companies, according to the Corporate Governance in Europe 2025 report by Diligent Market Intelligence (DMI). Between September 2024 and August 2025, 52 U.K. companies faced activism, compared to 36 over the same timeframe in 2024, underscoring the market’s heightened shareholder engagement.

“The U.K. remains the primary driver of public-facing engagement in Europe, with other European markets increasingly witnessing similar strategies when behind-the-scenes efforts fail,” said Josh Black, Editor-in-Chief, Diligent Market Intelligence. “Activism in Europe runs the full gamut from hostile media campaigns to more private engagements but there is no doubt that boards should prepare for anything in what looks likely to be a very busy annual meeting season.”

Produced in association with White & Case, a global law firm, the report reveals that while smaller-cap companies accounted for nearly 70% of all U.K. activism, large-cap campaigns were largely led by prominent U.S. activists who are increasingly turning to the European market for value opportunities.

“The U.S. has a more mature activism market compared to the U.K., with many experienced and deep-pocketed activists pursuing similar strategies,” said Tom Matthews, Partner and Head of EMEA activism, White & Case. “For U.S. activists willing to venture beyond their home market, the U.K. and other European markets continue to present opportunities.”

Europe’s varied corporate governance landscapes and unique board election mechanisms continued to shape how activism has been conducted in 2025.

Germany, Italy and France carve out distinct paths in shareholder activism

Beyond the U.K., Germany has become Europe’s most contested market. The first eight months of 2025 saw activists succeed in gaining six seats, up from four in 2024, and with many campaigns centered on cost-cutting, operational efficiency and consolidation strategies.

Meanwhile, Italy’s unique slate voting system has enabled activists to quietly reshape boards, resulting in five seats gained in the eight-month period, up from four in both 2023 and 2024.

While public-facing campaigns remain relatively rare in France, with just three launched in the first eight months of the year, activists have grown bolder - increasingly turning to public engagement when private discussions fail to meet objectives.

Europe’s most impactful activist players

Within the report, the Diligent Market Intelligence watchlist identified the most influential activist investors in Europe. Saba Capital Management leads the list, having successfully applied its U.S. developed strategy focused on investment trusts to the European market. Fellow U.S. activist firm Amber Capital took second place, with its demands – mostly at Italian companies – focused on board representation and pressure to spinoff or sell business divisions.

European indices leapfrog London on median realized CEO pay

The report found that, despite ongoing efforts by London-based companies to narrow the CEO pay gap within the U.S., European markets are now surpassing it. For the first time, Germany’s DAX and France’s CAC 40 have surpassed the FTSE 100 in median realized CEO pay, signaling a new phase in the region’s struggle to stay competitive for listings and executive talent.

Download our comprehensive report to access the full analysis, including an activism case study and an examination of the next chapter for the U.K. Stewardship Code.

Join us at the Stewardship Series Conference on November 11 in London, where we will dive deeper into the insights and findings from this comprehensive report. To register, email dmi.info@diligent.com.

About the report

Data contained within the report is derived from Diligent Market Intelligence’s Activism, Voting and Compensation modules. Europe data featured also includes the U.K. The U.K.-specific data examines the 12-month period ending August 2025. Data for the rest of Europe tracks the eight-month period to the end of August 2025. Further data with bespoke analysis is available on request. For more information, please email dmi.press@diligent.com.

About Diligent Market Intelligence

Diligent Market Intelligence (DMI) is a market-leading provider of shareholder activism, investor voting, and corporate governance data. Through its web application and data feeds, clients can access the most complete solution for listed company intelligence on the market, with broader and deeper insights than ever before.

About Diligent

Diligent is the AI leader in governance, risk and compliance (GRC) SaaS solutions, helping more than 1 million users and 700,000 board members to clarify risk and elevate governance. The Diligent One Platform gives practitioners, the C-Suite and the board a consolidated view of their entire GRC practice so they can more effectively manage risk, build greater resilience and make better decisions, faster. Learn more at diligent.com.

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