Define the types of shareholder, Financial Management

Assignment Help:

Tactics can be used by company to protect itself.

Before the bid

Types of

Shareholder

Having the right shareholders on board who can be influenced by the board not to sell their shares. Good relationship with shareholders is vital and this is done through effective communication.

AA

Majority  in articles  of  association  can  be  set  to  high  limits  to  approve  a merger oracquisition.

Poison pills

Shareholders may be given rights to buy shares or convertible loan stocks which in event of a takeover bid are exercised. This will increase share capital and require a larger offer from predator company, thereby deterring them.

Asset values

Ensure asset values of company are current so that a high price needs to be paid for them and shareholders are aware of true price of their share.

 

 


Related Discussions:- Define the types of shareholder

What is the time value of money, What is the time value of money? The t...

What is the time value of money? The time value of money signifies that money you hold in your hand today is worth more than money you expect to receive in the future. Likewise

What are the limitations of ratio analysis, What are the Limitations of rat...

What are the Limitations of ratio analysis A ratio on its own is meaningless. Accounting ratios should always be interpreted in relation to other information, for illustration:

Explain and compare the costs of hedging, Explain and compare the costs of ...

Explain and compare the costs of hedging via the forward contract and the options contract. Answer: There is no up-front cost of hedging through forward contracts. Though, in t

Operating cycle, discuss the applicability of an operating cycle of a veget...

discuss the applicability of an operating cycle of a vegetable growing business

Replacement Theory, How is the failure Table for assets that fail suddenly ...

How is the failure Table for assets that fail suddenly constructed?

Explain the powers and functions of sebi, Question 1 What is liquidity ris...

Question 1 What is liquidity risk? What are the causes for liquidity risk? Question 2 Explain the powers and functions of SEBI Question 3 Discuss the various categories

Definition of financial leverage, Q. Definition of financial leverage? ...

Q. Definition of financial leverage? One of the goals of planning an appropriate capital structure is to maximize the return on equity shareholders fund or else maximize the ea

Proposed pollution control project -memorandum, Memorandum Memo to: Bla...

Memorandum Memo to: Blackwater plc Main Board. Subject: Proposed Pollution Control Project. From: Lower down the hierarchy. Date: That'll be the day. On purely non-

Define double-entry bookkeeping, Q. Define Double-Entry Bookkeeping? Do...

Q. Define Double-Entry Bookkeeping? Double-Entry Bookkeeping - Method of recording financial transactions in that every transaction is entered in two or more accounts and inclu

Weak form level of efficiency-forms of efficiency, Weak form level of effic...

Weak form level of efficiency This level states that share prices fully reflect information in historic share price movement and patterns (past information/historic information

Write Your Message!

Captcha
Free Assignment Quote

Assured A++ Grade

Get guaranteed satisfaction & time on delivery in every assignment order you paid with us! We ensure premium quality solution document along with free turntin report!

All rights reserved! Copyrights ©2019-2020 ExpertsMind IT Educational Pvt Ltd