YCL Inc. operates a retail chain. The managers and employees of the company have been on strike for months due to their differences with its owners. As a result, the share price of the company has fallen to a historic low. UltraPlus Investments decides to purchase a majority of the shares of YCL, confident that it can manage the company better. The board of directors of YCL refuses to sell the shares of the company to UltraPlus Investments. As a result, UltraPlus tries to place its own people on the YCL's board of directors to change their decision. In this scenario, UltraPlus is involved in a(n)________.

Question

Quizplus · Accepted Answer

UltraPlus is engaging in a proxy fight, which involves trying to gain control of a company by persuading shareholders to vote for new board members who are more favorable to the acquirer's agenda.

YCL Inc Operates a Retail Chain