Friendly Merger


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Friendly Merger

A business combination that the management of both firms believes will be beneficial to stockholders.

Friendly Takeover

The acquisition of one company by another with the full knowledge and consent of the target company's board of directors. Generally speaking, a friendly takeover requires the approval of shareholders in addition to the board of directors, but, in this case, shareholders tend to follow the board's lead. This is because, in a friendly takeover, the acquiring company offers a premium to the current stock price for each share. See also: Hostile takeover.
References in periodicals archive ?
Under the terms of the friendly merger entered into between the two companies on January 19, 1996, shareholders of KCPL will receive one share of stock in the new company for each share of KCPL common stock owned, and holders of UtiliCorp common stock will receive 1.
It's clear that our friendly merger with Warner-Lambert is strategically and financially compelling and that it will create enormous near and long-term value for the shareholders of Warner-Lambert and American Home Products," said John R.
The bitter battle to consolidate the French banking sector has pitted SocGen and Paribas, who had agreed to a friendly merger, against BNP which launched hostile bids for both banks.
Any residual jitters from the Bank of France's intervention, albeit unsuccessful, to seek a three-way compromise, were eased when TotalFina and Elf independently put aside their differences and agreed a friendly merger this month.
Great Western spurned its advances, instead preferring a friendly merger with Washington Mutual Inc.
Early this year, First Choice agreed a friendly merger with Kuoni of Switzerland but the deal was trumped by a higher, although hostile, bid by Airtours.
Toronto-Dominion Bank (TD), a Canadian financial company, is acquiring Waterhouse Investor Services in a friendly merger expected to close on that date.
Ahmanson that seeks to break up a friendly merger between the thrift and Washington Mutual Inc.
We believe the facts speak for themselves; the friendly merger of equals between KCPL and UtiliCorp offers the best prospects for growth.
today issued the following statement regarding its proposed friendly merger of equals with Wachovia Corp.
Reports suggested the German group's board members were starting to turn against chairman Klaus Esser's refusal to strike a friendly merger deal.
But Great Western spurned its advances, announcing instead a friendly merger with Washington Mutual in March.
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