creeping tender offer

Creeping tender offer

The process by which a group attempting to circumvent certain provisions of the Williams Act gradually acquires shares of a target company in the open market.

creeping tender offer

The purchase of a target firm's stock at varying prices in the open market rather than through a formal tender offer. Most shares are often acquired in large blocks from arbitrageurs, frequently resulting in the exclusion of small stockholders from the offer. The purpose of a creeping tender offer is to gain control of a firm's stock more cheaply and quickly than an ordinary tender offer permits. See also Williams Act.

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Tender offer

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Oman said, "The adoption of the Plan will ensure the Company's shareholders are protected from abusive takeover tactics, such as creeping tender offers or market accumulations, where shareholders may not receive their fair share of the long term value of the Company.