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Subsidiary
A company that is controlled by another company, typically referred to as the parent company.
White Knight
When a firm is an acquisition target by an unattractive suitor, a more desirable acquirer is known as a white knight. (The original suitor may be known for particularly ruthless treatment of acquired companies.)
Tender Offers
A public proposal by a person or company inviting shareholders to sell their shares at a specified price.
Greenmail
To avoid an unfriendly acquisition, a firm may buy shares owned by a potential acquirer at a price above the market price of the stock. The above-market payment is greenmail.
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