A __________ is a public offer to all the shareholders of a corporation to buy their shares at a stated price.
A) leveraged buy out
B) tender offer
C) target bid
D) merger

Question

Quizplus · Accepted Answer

A tender offer is a public offer made by a potential acquirer to buy a substantial portion, or all, of the outstanding shares of a target company at a premium over the market price. This offer is made directly to the shareholders of the target company, who then have the option of accepting or rejecting the offer. A leveraged buyout refers to a financial strategy where a company acquires another company using a significant amount of debt financing. A target bid is a type of tender offer where the acquirer offers to purchase the majority of the target company's shares with the aim of gaining control of the company. A merger refers to the process of two companies combining to form a single entity.

A __________ Is a Public Offer to All the Shareholders