Some state anti-takeover laws contain so-called "fair price provisions" requiring that all target shareholders of a successful tender offer receive the same price as those who actually tendered their shares.

Question

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This is true. Fair price provisions aim to prevent a hostile acquirer from using a tender offer to acquire a large number of shares at below-market prices by offering a premium to those shareholders who tender their shares, while excluding non-tendering shareholders from the premium.

Some State Anti-Takeover Laws Contain So-Called "Fair Price Provisions" Requiring