antitakeover measure


Also found in: Dictionary, Thesaurus, Wikipedia.

Antitakeover Measure

Periodic or continual measures a firm's management takes to discourage unwanted or hostile takeovers. One example of an antitakeover measure is the macaroni defense, in which the company issues a large number of bonds with the proviso that they must be redeemed at a high price if the company is taken over. See also: Shark Watcher.

antitakeover measure

An action by a firm's management to block or halt a takeover by another party. Examples of antitakeover measures include a fairprice amendment, staggered terms of office for directors, and a requirement for an increased number of affirmative votes from shareholders to approve a takeover. See also show stopper.
References in periodicals archive ?
Several governance researchers have included former officers in their operationalizations of director dependence, including studies of the adoption of antitakeover measures (e.
Evidence on the Deterrent and Wealth Effects of Modern Antitakeover Measures, Working Paper 4316.
91 billion yen due to costs in adopting antitakeover measures against U.
This same year, the board amended the corporation's bylaws and adopted antitakeover measures.
Although one might think this secrecy could be useful to raiders who want to acquire a large stake in a firm, other antitakeover measures, such as a limitation on the number of shares that may be voted, make hostile takeovers more difficult in Switzerland than in the United States.
Bull-Dog, which currently has no antitakeover measures, will propose the plan in the form of a special resolution at its general shareholders meeting, scheduled for June 24.
Agrawal and Mandelker (1990), Brickley, Lease, and Smith (1988), and Jarrell and Poulsen (1987) report a negative relation between the adoption of antitakeover measures that are harmful to shareholders and the level of institutional ownership.