Large-scale efforts to make a firm less appealing in the midst of a potential merger are known as:
A) proxy fights.
B) leveraged buyouts.
C) shark repellents.
D) poison pills.

Question

Quizplus · Accepted Answer

Poison pills are a tactic used by a target company to make itself less attractive to a potential acquirer in the event of a hostile takeover attempt. This is done by implementing provisions that make the company's stock less valuable or dilute the shares of the acquiring company.

Large-Scale Efforts to Make a Firm Less Appealing in the Midst