Category
page 1Mergers and acquisitions
mergers and acquisitions
transactions in which the ownership of companies, other business organizations or their operating units are transferred or combined
goodwill
accounting term for the intangible asset recognized when a firm is purchased as a going concern
vertical integration
business arrangement in which the supply chain of a company is owned by that company
due diligence
investigation or exercise of care that a reasonable business or person is normally expected to take before entering into an agreement or contract with another party or an act with a certain standard of care
horizontal integration
increasing production of at the same level of the supply chain through acquisition, merger or internal expansion
takeover
In business, a takeover is the purchase of one company (the target) by another (the acquirer or bidder). In the UK, the term refers to the acquisition of a public company whose shares are publicly listed, in contrast to the acquisition of a private company.
leveraged buyout
acquisition of a company using a significant proportion of borrowed money
golden parachute
agreement providing significant compensation to a business executive who is fired, such as due to a merger
associate company
accounting and business valuation concept
consolidation
merger and acquisition of many smaller companies into much larger ones
shareholder rights plan
defense against a business takeover by threatening to dilute shares
Corporate raid
process of buying a large stake in a corporation and then using shareholder voting rights to require major changes
white knight
friendly investor that acquires a corporation at a fair consideration with the support from the corporation's board of directors and management
Minority interest
Non-controlling interest, belonging to other investors
reverse takeover
acquisition of a parent company by its child
Greenmail
Greenmail or greenmailing is a financial maneuver where investors buy enough shares in a target company to threaten a hostile takeover, prompting the target company to buy back the shares at a premium to prevent the takeover.
equity method
Stock swap
Exchange of equity-based assets
virtual data room
online repository of information that is used for the storing and distribution of documents
Pac-Man defense
Tactic to counteract a hostile takeover
equity carve-out
sort of corporate restructuring
Crown Jewel Defense
business strategy
Takeover Directive
European Union directive adopted in 2004