A change to the corporate charter that requires that any merger must be approved by a supermajority of shareholders is known as:
A) an LBO.
B) a proxy contest.
C) a carve-out.
D) a shark-repellent.

Question

Quizplus · Accepted Answer

A change to the corporate charter that requires a supermajority of shareholders to approve a merger is commonly referred to as a shark-repellent provision. This is because it discourages hostile takeovers by requiring a high level of approval from shareholders, making it more difficult for an acquiring company to gain control of the target company.

A Change to the Corporate Charter That Requires That Any