What is the term for the practice of buying large amounts of stock in companies that are rumoured to be on the brink of a corporate takeover?

Name: What is the term for the practice of buying large amounts of stock in companies that are rumoured to be on the brink of a corporate takeover?
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Question

Quizplus · Accepted Answer

Arbitrage involves buying stocks in companies rumored to be takeover targets, aiming to profit from the anticipated increase in stock price following the takeover announcement.

What Is the Term for the Practice of Buying Large