Ask the Advisor — Q. Should I be concerned about hostile bids?

Description

Abstract: Sometimes buyers make unsolicited offers to companies that aren’t planning to sell or aren’t yet ready for the market. While most unsolicited buyers take “no” for an answer — or improve their offer until the target company says “yes” — some attempt a hostile takeover. Such attempts, typically in the form of a tender offer or a proxy fight, primarily concern public companies. But privately owned businesses can experience something similar when unsolicited buyers convince one or more owners to sell in opposition to the wishes of one or more other owners.