Company A has made an offer to purchase all of the outstanding shares of Company B for $10 per share (the current market value of the shares). In response to Company A's offer, the shareholders of Company B were given rights to purchase additional shares at $8 per share. Which of the following tactics were employed by Company B to prevent Company A from acquiring control of Company B?

Question

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Company B employed a poison pill strategy, which is a tactic to make the target company less attractive to the acquiring company by offering existing shareholders the right to purchase additional shares at a discounted price, making the acquisition more expensive for the acquiring company. The other tactics mentioned (Pac-man defense, Selling the crown jewels, and Reverse-takeover) are alternative takeover defense strategies.

Company a Has Made an Offer to Purchase All of the Outstanding