Generally, a corporation that acquires the assets of another corporation needs to obtain shareholder approval for the purchase.

Question

Generally, a corporation that acquires the assets of another corporation needs to obtain shareholder approval for the purchase.​

Quizplus · Accepted Answer

Shareholder approval is only necessary for certain types of asset purchases, such as when a corporation is acquiring substantially all of the assets of another corporation. Other types of asset purchases, such as acquiring a specific division or product line, may not require shareholder approval.

Generally, a Corporation That Acquires the Assets of Another Corporation