Articles

Anyone responsible for producing and distributing corporate action documents — rights issues, M&A circulars, prospectuses, EGM notices and so on — is aware of the challenges: tight deadlines and complex regulatory requirements against a background where there is zero room for error.

Whether you are approaching a corporate action as the company secretary, part of the corporate finance team or a legal adviser, shareholder communications will be high on your agenda. 

It’s clear that AI is now being used — or considered — across communications workflows, and the appeal is obvious: speed, scale, efficiency. But what is AI’s role in quality shareholder communications?

If you’re responsible for corporate action shareholder, where quality, accuracy and timeliness is key, can you afford to rely on AI alone? 

The Unique Pressures of Corporate Actions Communications

Corporate actions communications aren’t routine documents — they’re legally binding, time-sensitive documents with regulatory consequences. 

They’re also wide-ranging; the term can encompass:

• Tender Offer documents
• Mergers and acquisition documents
• White-Wash circulars
• Rights Issue documents
• EGM circulars
• Fundraising documents
• Requisition Circulars
• Disposal documents
• Placing and Open Offer documents
• Offer for Subscription documents
• Management Information circulars
• Acquisition and readmission prospectuses
  

Accuracy is essential; any error isn’t just an embarrassing mistake for the issuer, but can mislead shareholders, trigger regulatory scrutiny and even derail transactions.

And because deadlines are non-negotiable, documents need to be turned around quickly, accurately and securely. This combination of time pressure and precision can make the creation of these shareholder communications a high-stakes exercise. Taking a professional approach is vital. 

Where AI Creates Risk in High-Stakes Documents

While AI may offer a route to faster content and communications creation, it isn’t a risk-free option, especially for corporate actions shareholder communications.

How does AI create risk in shareholder documents? 

• It can generate plausible-sounding but factually wrong content, which is very dangerous when figures and legal language must be precise
• It doesn’t understand the regulatory context: FCA requirements, Takeover Code obligations, ESEF/ESMA reporting rules
• AI tools have no accountability — if a circular is published with an error, a human in your team is still liable
• Personalisation and data management for individual shareholders (registrar collaboration) requires careful, verified handling that AI can’t reliably perform
• Generic output risks undermining the credibility of the document and the transaction itself

With these risks in plain sight, it’s clear that leaving AI to create stakeholder communications alone can be a dangerous path.

What Shareholders and Regulators Expect From Corporate Actions Communications

Shareholders making decisions based on these documents deserve clarity, accuracy and completeness. Regulators expect full compliance, not a shrug and an acceptance that “AI did its best”.

Investor trust is hard-won and easily lost; a poorly produced circular during a fundraise or M&A sends the wrong signal at the worst moment. Your reputation is vital to the transaction’s success.

When it comes to corporate actions stakeholder communications, it’s essential that you navigate the risks of AI reliance. 

The Human Skills That Corporate Actions Demand

Leaving AI to “get on with the job” is therefore not an option. There are numerous areas where expert human input can make the difference between success or failure:

• Deep product knowledge across all corporate action document types — knowing the conventions, requirements, and nuances of each
• Expert typesetting and artworking: documents must be formatted precisely and consistently, often at speed
• Experienced project management: coordinating across legal advisers, registrars, printers and company teams simultaneously
• 24/7 availability when transactions demand it — corporate actions don’t wait for office hours
• Direct registrar collaboration for personalisation, data management, and fulfilment — collaboration that requires a human relationship, not an automated one

Doubtless, AI can provide a solid start to shareholder documents. But at what point should you involve people to provide the specialist, expert input that elevates your documents and reduces the risk of over-reliance on technology? 

Getting the Balance Right — AI-Assisted, Expert-Led

So how should you use AI in corporate actions communications? 

The right model will see companies use AI where it adds genuine efficiency (first-draft content, formatting checks, data processing), but always with rigorous human review.

Building structured workflow and approval processes that manage issues like version control, quality and accuracy is essential — not optional — when documents are regulatory-grade. The human team will be where errors are caught before they become problems.

The Perfect Combination of AI and Human

It’s clear then: AI can increase efficiency, but it cannot replace the judgment, expertise, and accountability that corporate actions demand. 

For that, you need to find the sweet spot of human and machine; the balance between AI’s time-saving and real people’s ability to refine; to add that specialist, expert layer of nuance, professionalism and compliance.

While AI has a role to play, we believe corporate actions stakeholder communications demand a level of accuracy, compliance and judgment that only experienced human teams can guarantee.

For company secretaries and finance teams, the question isn’t whether you (or your suppliers and partners) should use AI — it’s whether you build the right human guardrails around it.

The Expertise To Support Your Shareholder Communications

Perivan’s long-established shareholder communications teams provide in-depth experience and product knowledge 24 hours a day, ensuring that even the most complex and demanding transactions run smoothly, efficiently and quickly.

With by far the largest financial document creation resource in the UK — including teams specialised in project management, typesetting, artworking and design — our team can ensure that time-critical documents are turned around quickly, accurately and securely.

We work with companies from early start-ups through to mature FTSE 250 businesses, producing around 40% of the UK’s IPO admission documents every year.

Read more about the ways Perivan’s expert Corporate Actions Services teams can support you with your corporate actions communications or contact us to find out more.