COERCIVE OFFERS AND DEFENCE:

Presented by; Vijayalakshmi C K Kanchana R I

COERCIVE OFFERS AND DEFENCE:

An offer which creates or leverages off uncertainty

may be coercive, and therefore inconsistent with an

efficient, competitive and informed market for control.
Such a bid may be unacceptable. The pressure or coercion to tender arises when takeover

bid is front-end loaded, i.e., when the offer price is greater then the price of any unpurchased shares.

Corporate Takeover Defense: A Shareholders Perspective:

The impact of hostile of takeovers from the perspective of

investment bankers and corporate officers, and the various

steps, that companies take to prevent them has discussed.
Yet these shareholders can experience significant financial

consequences when the target companys board activates a defense or signals its intention to do so by adding defensive strategies to the corporate charter after the new of an impending takeover breaks.

Following Measures Are Suitable From Shareholders Perspective:

Shareholders rights plan
Voting rights plan

Increasing debt

Thank you