An acquisition of a ﬁrm through the purchase of shares of the outstanding stock can be
accomplished without having the shareholders vote on the acquisition.

Question

Quizplus · Accepted Answer

Shareholders do not need to vote on an acquisition through the purchase of shares, as it only affects the ownership structure of the firm. However, if the acquisition involves a significant change to the business or assets of the company, shareholder approval may be required.

An Acquisition of a ﬁRm Through the Purchase of Shares