Proxy Fight

(redirected from Proxy battle)
Also found in: Dictionary, Thesaurus.
Related to Proxy battle: Proxy contest

Proxy fight

Often used in risk arbitrage. Technique used by an acquiring company to attempt to gain control of a takeover target. The acquirer tries to persuade the shareholders of the target company that the present management of the firm should be ousted n favor of a slate of directors favorable to the acquirer, thus enabling the acquiring company to gain control of the company without paying a premium price.

Proxy Fight

Competition of outside group with management for stockholders' proxies in order to accumulate votes to elect a new board of directors.

Proxy Fight

A situation in which two investors (usually two companies) compete with one another in the attempt to gain the proxy votes of shareholders in a third company. The two investors engage in the proxy fight because both wish to have enough proxy to elect a new board of directors that will effectively do whatever the investor wants. The winner of a proxy fight, if any, is able to control the third company through the board of directors and does not need to directly acquire it, though many often do anyway.

proxy fight

A contest among two or more opposing forces to solicit stockholders' proxies and, in effect, to gain control of the firm through the election of directors. It is usually quite difficult to wrest control from the existing management through a proxy fight, but the tactic has been used, for example, by some suitors in takeover attempts.
References in periodicals archive ?
maker of all kinds of computer equipment has been been plagued for years with dramas, which have led to CEO resignations, firings and proxy battles more out of "Dallas" than one of Silicon Valley's most respected technology companies.
The chance of Woodford winning the proxy battle ''is not zero,'' he added.
Insurgents who target smaller public companies, in particular, may be able to gain an upper hand in a proxy battle.
She is the Democrat conservatives most love to hate, and McCain and Romney campaigned against her Sunday as if in a proxy battle against one another.
The meeting was comparatively poorly attended in comparison with last year's event, which was held during a bitter proxy battle between the board and Peltz, who owns around 5.
There's almost no forward motion to the novel's plot, but somehow this proxy battle between Cynthia and Frances over their childhood--an effort by each sister to enforce her own version of the past and dismiss the other's memories as irrelevant or skewed--is enough to make The Ghost at the Table wholly engaging.
Not uncommon here, many see the struggle as a proxy battle involving the United States, Israel, Syria and Iran.
5 per cent of shares, is waging a proxy battle for five seats on the 12-member board.
After the company's directors rejected the offer, Formation nominated its own candidates for board of directors, setting up a proxy battle.
Apart from the Attorneys Office and SEC investigations, the firm has endured shareholder litigation and a proxy battle by a minority shareholder.
The firm said its plans for Metal Management may include privately negotiating transactions of Metal Management's securities, open-market purchases, proposing a business combination including a merger, a tender offer or waging a proxy battle.
who, along with fellow tycoon Selim Zilkha, led the apparently unsuccessful proxy battle to dump the entire El Paso board of directors.