CORPORATE FINANCE
12th Edition
ISBN: 9781307702804
Author: Ross
Publisher: MCG/CREATE
expand_more
expand_more
format_list_bulleted
Question
Chapter 29, Problem 5CQ
Summary Introduction
To explain: Poison pills are good or bad for the stockholders and to explain that the acquiring firms are able to get around the poison pills.
Poison Pills:
Poison pill is a technique used by the target company to prevent itself from a hostile takeover. It is the strategy to discourage a hostile takeover. It is a pill used to eliminate the possibility of a hostile takeover.
Hostile Takeover:
It is the takeover of the target firm by an acquirer firm in which the takeover would not be approved by the management of the target firm. It is a type of takeover against the wishes of the board of directors on the takeover of the company.
Expert Solution & Answer

Want to see the full answer?
Check out a sample textbook solution
Students have asked these similar questions
Please good answer no ChatGPT..???
Pleased ChatGPT no .....??? Disl
No ai ChatGPT...???no
Knowledge Booster
Similar questions
arrow_back_ios
SEE MORE QUESTIONS
arrow_forward_ios
Recommended textbooks for you
- Intermediate Financial Management (MindTap Course...FinanceISBN:9781337395083Author:Eugene F. Brigham, Phillip R. DavesPublisher:Cengage LearningBusiness/Professional Ethics Directors/Executives...AccountingISBN:9781337485913Author:BROOKSPublisher:Cengage
- Cornerstones of Financial AccountingAccountingISBN:9781337690881Author:Jay Rich, Jeff JonesPublisher:Cengage Learning

Intermediate Financial Management (MindTap Course...
Finance
ISBN:9781337395083
Author:Eugene F. Brigham, Phillip R. Daves
Publisher:Cengage Learning
Business/Professional Ethics Directors/Executives...
Accounting
ISBN:9781337485913
Author:BROOKS
Publisher:Cengage


Cornerstones of Financial Accounting
Accounting
ISBN:9781337690881
Author:Jay Rich, Jeff Jones
Publisher:Cengage Learning