The final outcome of a hostile takeover is rarely affected by the composition of the target's stock
ownership and how stockholders feel about management's performance.

Question

Quizplus · Accepted Answer

The composition of the target's stock ownership and how stockholders feel about management's performance can greatly impact the outcome of a hostile takeover. Large institutional investors may have enough voting power to sway the decision, and if they support current management, they may fight against the takeover. Additionally, if individual shareholders are unhappy with management, they may be more willing to sell their shares to the acquirer. All of these factors can ultimately impact the success or failure of a hostile takeover.

The Final Outcome of a Hostile Takeover Is Rarely Affected