Derek Zaba partner with Sidley Austin.

For the latest addition to its shareholder activism practice, Sidley Austin has brought on a lawyer from a locally headquartered shareholder relations advising firm that merged into a larger operation last year.

Derek Zaba, the former head of contested situations at advisory firm PJT Camberview Partners, joined Sidley Austin's Palo Alto office on Monday as a partner in the firm's global M&A and private equity group and co-leader of the shareholder activism practice. He is running the activism defense group together with Kai Liekefett, who joined Sidley Austin last year from Vinson & Elkins.

"At Sidley, [there] is an activism practice that is really top-ranked and growing very fast," Zaba said. "Kai Liekefett and his team have done more than 50 [proxy contests] over the past five years, so they're growing very fast … and the ability to join a team like that, and hold on to a team like that was very exciting."

With Zaba's arrival, the Sidley Austin team now has two partners who devote all of their time to the shareholder activism practice, the firm said.

"This is true for any public company these days," Zaba said. "Shareholders are able and willing to raise their hand and call for change at a company, be [it] a change to the strategy, or the business, all the way to governance and board."

Zaba said shareholder activism has been on the rise over the last decade and a half.

"A permanent fixture of the public company landscape globally is the realization that your shareholders, if they don't like what's going on, they can rally together and make changes at the firm," he added.

At Sidley Austin, Zaba will focus his practice on counseling boards and C-suite executives of public companies in shareholder activism matters and contested M&A transactions, as well as on corporate governance concerns.

Before returning to private practice at Sidley, Zaba worked at PJT CamberView for roughly four years, where he advised clients and industries on activism-related matters. Before that, Zaba was an investment professional at two hedge funds, including Voce Capital and Scoggin Capital.

He started his legal career as a corporate attorney at Wachtell, Lipton, Rosen & Katz.

"They are a different bunch of jobs, but the common element really is shareholder activism that's been a part of every single one of those," Zaba said. "And so sitting in all of those different seats provides a different type of perspective, because I've seen it from every angle."

PJT has declined to comment on Zaba's departure. Zaba's move comes almost exactly a year after PJT Partners Inc., the investment bank founded by Morgan Stanley veteran Paul Taubman, acquired CamberView, which specializes in activist defense and shareholder engagement.

"Derek will augment our impressive shareholder activism practice," Liekefett said in a statement. "With shareholder activism at record levels, Derek's extraordinary skill set and deep knowledge will enhance our ability to serve clients facing these issues."

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