Kevin is a major stockholder in Professional Transmission Services (PTS), a nationwide network of transmission repair shops founded in 1975 by his father. Currently, PTS stock is sold on the open market, but Kevin has talked to several relatives about his desire to get all of the PTS stock back in his family's hands. Kevin is interested in ________.
A) taking the firm private
B) a hostile takeover of the firm
C) converting the firm to a general partnership
D) forming a master limited partnership

Question

Quizplus · Accepted Answer

When a group of stockholders, such as a family, obtains all of the stock in a company for themselves, they have taken the firm private.

Kevin Is a Major Stockholder in Professional Transmission Services (PTS)