In a __________,someone wishing to replace the board with his or her own candidates attempts to acquire a sufficient number of shareholder votes to do so through limited written powers of attorney entitling the holder to vote the shares owned by the person giving the power of attorney.
A) hostile takeover
B) proxy contest
C) poison pill
D) greenmail takeover

Question

Quizplus · Accepted Answer

A proxy contest is a type of corporate battle where a shareholder seeks to replace the existing board of directors with their own candidates. The contest is waged through limited written powers of attorney called proxies, which entitle the holder to vote the shares owned by the person giving the power of attorney. The aim is to acquire a sufficient number of shareholder votes to take control of the board. The other options listed refer to different types of takeovers.

In a __________,Someone Wishing to Replace the Board with His