For a Hostile Takeover to Succeed,the Acquirer Must Appeal to the Target

question 9

Multiple Choice

For a hostile takeover to succeed,the acquirer must appeal to the target shareholders; this is usually done through:

• A)a tender offer and a proxy fight.
• B)a tender offer and a poison pill.
• C)a white knight and a proxy fight.
• D)a staggered board and a white knight.
• E)a recapitalization and a poison pill.

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Definitions:

De Facto Corporation

A corporation that operates in all respects as a corporation despite not having completed the formalities required for legal recognition.

Ultra Vires

Actions or activities conducted by a corporation or its officers that lie beyond the powers granted by its charter or the laws.

Ultra Vires Contract

A contract that exceeds the powers granted to a corporation by its charter or bylaws.

Fourteenth Amendment

An amendment to the US Constitution that grants citizenship and equal civil and legal rights to all persons, including previously enslaved individuals.