Printer Friendly
Dictionary, Encyclopedia and Thesaurus - The Free Dictionary
3,896,807,141 visitors served.
forum Join the Word of the Day Mailing List For webmasters
?
Dictionary/
thesaurus
Medical
dictionary
Legal
dictionary
Financial
dictionary
Acronyms
 
Idioms
Encyclopedia
Wikipedia
encyclopedia
?

Target Firm

   Also found in: Dictionary/thesaurus, Wikipedia 0.02 sec.
Target firm
A firm that is the object of a takeover by another firm.

Takeover Target
A publicly-traded company that is the object of a takeover, especially, but not necessarily, a hostile takeover. That is, another company is interested in buying the takeover target, often by buying its shares with the intent of obtaining a majority stake without the authorization of its board of directors. An acquiring company identifies takeover targets based on a variety of factors, including share price and growth potential; it may buy up to 5% of the takeover target without publicly disclosing its intentions. A takeover target is also called a target company.


Want to thank TFD for its existence? Tell a friend about us, add a link to this page, add the site to iGoogle, or visit the webmaster's page for free fun content.
?Page tools
Printer friendly
Cite / link
Feedback
Add definition
Mentioned in?  References in periodicals archive?   Financial browser?   Full browser?
 
Under this approach, a company might first acquire a big chunk of a stake in its target firm through a tender offer.
A change of control can mitigate the agency problems in the target firm if the acquiror can implement better business practices and eliminate self dealing and other costly forms of "managerial" behavior.
3) From these 5,587 mergers, we eliminate 5,120 transactions for which either the acquiring or target firm is not publicly traded.
 
 
 
Financial Dictionary
?

Terms of Use | Privacy policy | Feedback | Advertise with Us | Copyright © 2012 Farlex, Inc.
Disclaimer
All content on this website, including dictionary, thesaurus, literature, geography, and other reference data is for informational purposes only. This information should not be considered complete, up to date, and is not intended to be used in place of a visit, consultation, or advice of a legal, medical, or any other professional.