antitakeover measure

(redirected from Anti-Takeover Tactic)

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 ?
Anti-takeover tactics, known as "shark repellents," are now commonly used by corporate managements, including staggered terms of board members, extensive parachute" pacts, "poison pill" defenses, and creation of different classes of shareholders.
Rhines wrote: "The effect of these desperate anti-takeover tactics is to delay greatly consummation of our offer and subject Quickturn stockholders to unreasonable and unnecessary market and business risk.