What is NOT one of the defensive tactics firms use to fight off undesired mergers?
A)developing poison pills
B)getting white knights to bid for the firm
C)repurchasing their own stock
D)issuing new shares at low prices on the market

Question

Quizplus · Accepted Answer

Issuing new shares at low prices on the market is not a defensive tactic firms use to fight off undesired mergers. Rather, this tactic could potentially make the firm more vulnerable to a hostile takeover bid. The other options, developing poison pills, getting white knights to bid for the firm, and repurchasing their own stock, are all common defensive tactics used by firms to fend off unwanted merger attempts.

What Is NOT One of the Defensive Tactics Firms Use