Kamikaze Defense
What is Kamikaze Defense? Kamikaze defense refers to a type of strategy that a target company can take to defend against a hostile takeover. “Kamikaze” means “divine wind” in Japanese. It was originally a special attack unit of the Japanese army, particularly responsible for performing suicide attacks. In the business world, it represents an anti-takeover...
Escrowed Shares
What are Escrowed Shares? Escrowed shares are securities that are maintained in a special type of account until a specific business transaction is completed. The special type of account is called an escrow account. What is an Escrow Account? An escrow account is a type of account where assets/funds are maintained when transactions like mergers...
Head Trader
What is a Head Trader? A head trader refers to either the head of an independent trading company or the head of the trading department at a registered securities firm or other financial institution that conducts trading in the financial markets. Job Responsibilities of a Head Trader 1. Ensure regulatory compliance with local, state, and...
Hostile Takeover Bid
What is a Hostile Takeover Bid? A hostile takeover bid is the acquisition of a target company, but one that takes place against the board of directors’ consent. Ideally, an entity interested in a publicly-traded company should seek approval from the respective company’s board of directors. But if the board rejects the acquisition...
Merger vs. Acquisition
What is a Merger vs Acquisition? Mergers and acquisitions both refer to the joining of two or more business entities that entail a restructuring of their corporate order. They are aimed at achieving better synergies within the organization in order to increase their competence and efficiency. However, there are key differences between a merger vs....
