________ refers to preferred stock in a merged firm offered to shareholders at a highly attractive rate of exchange.

Question

Quizplus · Accepted Answer

A poison pill is a strategy used by companies to deter unwanted takeovers by making the company less attractive to the acquirer. Offering preferred stock at an attractive rate to existing shareholders can dilute the shares of a potential acquirer, making a takeover more difficult or expensive.

________ Refers to Preferred Stock in a Merged Firm Offered