What can little do to prevent big from succeeding

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Reference no: EM132023084

Takeover Defenses

Little, Ltd., is a small publicly traded stock company that owns a valuable patent. Little has approximately 1,000 shareholders and about 100,000 shares authorized and outstanding.

Big Company would like to use the patent, but Little has refused to grant it a license. Big offered to buy out all of Little's assets, but Little's board of directors refused.

Big has now tendered an offer to all of Little's shareholders to pay them U.S. $10 a share for their stock, a price that is slightly above the current fair-market price.

What can Little do to prevent Big from succeeding? Discuss.

Reference no: EM132023084

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