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You are the owner of Bread and Butter,a catering service that accepts customer orders through its website.You have recently discovered that your company's domain name,breadandbutter.ca,was registered by a company called Domain Acquisitions Co during a lapse in your registration (due to an overlooked outstanding payment).This company has since offered to resell the domain name to your company for a considerable sum.Needless to say you are extremely perturbed.What are your possible courses of action? Decide which remedy you will seek and outline your strategy.
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.
Horizontal Merger
A business consolidation that occurs between firms operating in the same industry, often aiming to increase market share.
Conglomerate Merger
A union between firms that are involved in totally unrelated business activities.
Vertical Merger
A merger between companies in the same industry but at different stages of the production process, aiming at creating efficiencies or reducing costs.
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