Flipover

Flipover

A flip-over is one of five types of poison pills in which current shareholders of a targeted firm will have the option to purchase discounted stock after the potential takeover. Introduced in late 1984 and adopted by many firms, the strategy gave a common stock dividend in the form of rights to acquire the firm's common stock or preferred stock under market value. Following a takeover, the rights would "flip over" and allow the current shareholder to purchase the unfriendly competitor's shares at a discount. If this tool is exercised, the number of shares held by the unfriendly competitors will realize dilution and price devaluation.

ee also

* Mergers and Acquisitions
* Takeover
* Industrial organization


Wikimedia Foundation. 2010.

Игры ⚽ Нужно решить контрольную?

Look at other dictionaries:

  • flipover — flip|over sb., en, e, ne (en demonstrationstavle), i sms. flipover , fx flipoverpapir, flipoverstativ …   Dansk ordbog

  • Poison pill — is a term referring to any strategy, generally in business or politics, to increase the likelihood of negative results over positive ones for a party that attempts any kind of takeover. It derives from its original meaning of a literal poison… …   Wikipedia

  • Five-card stud — For the 1968 Western, see 5 Card Stud. Five card stud is the earliest form of the card game stud poker, originating during the American Civil War,[1] but is less commonly played today than many other more popular poker games – clear from its… …   Wikipedia

  • Список игр на Amiga — …   Википедия

Share the article and excerpts

Direct link
… Do a right-click on the link above
and select “Copy Link”