EU Stock Markets: Investor Activism in Europe Attracts U.S. Advisers - by Shayndi Raici

U.S. law firms, crisis-communication shops and Wall Street banks are betting that American-style investor activism is about to spread into Europe.

A variety of U.S. advisory firms are opening investor-activism practices in London to capitalize on what they expect will be the growth of public campaigns targeting European companies.

Many observers think Europe is ripe for U.S.-style activism, where investors often engage in public proxy battles to see their aims met. In Europe, by contrast, with its more shareholder-friendly laws, activists rarely take their gripes public, but rather try to work privately with management to achieve their goals. 

Like in the U.S., European companies have been hoarding cash, making them juicy targets for activists that often push cash-rich companies to pay dividends or buy back shares.

Read more: Investor Activism in Europe Attracts U.S. Advisers - WSJ.com