When is a company susceptible to a hostile takeover?
A) When a bull market is in effect
B) When stock prices are high, but assets are decreasing
C) When stocks are low priced, but assets have high value
D) When the international market is in recession
E) When angel investors demand repayment of their venture capital

Question

Quizplus · Accepted Answer

A company is susceptible to a hostile takeover when its stocks are low priced, but its assets have a high value. This makes the company an attractive target for investors looking to acquire the company at a lower price than its actual worth.

When Is a Company Susceptible to a Hostile Takeover