A ________ is a defensive strategy built into the target corporation's articles of incorporation, corporate bylaws, or contracts and leases that can be adopted to defeat a tender offer.

Question

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A poison pill is a defensive strategy that makes the target company's stock unattractive to the acquirer by giving existing shareholders the option to purchase additional shares at a discounted price. This dilutes the value of the acquirer's shares and makes the takeover more expensive. The other choices, greenmail agreement, Pac-man tender offer, and white knight merger, are also defensive strategies, but they are not specifically designed to defeat a tender offer.

A ________ Is a Defensive Strategy Built into the Target