The following takeover defenses are generally put in place by a firm after a takeover attempt is underway.
A. Staggered board
B. Standstill agreement
C. Supermajority provision
D. Fair price provision
E. Reincorporation
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The following takeover defenses are generally put in place by a firm before a takeover attempt is initiated.
A. Standstill agreements
B. Poison pills
C. Recapitalization
D. Corporate restructuring
E. Greenmail
All of the following are true of poison pills except for
A. They are a new class of security
B. Generally prevent takeover attempts from being successful
C. Enable target shareholders to buy additional shares in the new company if an unwanted shareholder’s ownership exceeds a specific percentage of the target’s stock
Delays the completion of a takeover attempt
E. May be removed by the target’s board if an attractive bid is received from a so-called “white knight.”
All of the following are common takeover defenses except for
A. Poison pills
B. Litigation
C. Tender offers
D. Staggered boards
E. Golden parachutes
Which of the following are common takeover tactics?
A. Bear hugs
B. Open market purchases
C. Tender offers
D. Litigation
E. All of the above