Acquisition: related pages

Demerger

Spinning off business into a completely separate company. Usually done by distributing shares in the new company to existing company.

Leveraged buy-out (LBO)

An acquisition which is largely funded by debt; popular with private equity firms that often make large acquisitions with comparatively limited resources.

MBO

The acquisition of a business by (a consortium including) its existing management.

Merger

The combination of two or more companies, under circumstances that make it hard to identify which is really buying (in economic rather than legal terms).

Poison pill

An attempt to discourage an acquisition by making it more expensive or by reducing the value of the acquired business.

Private equity

Investment is unlisted companies, including the takeover and de-listing of listed companies.

Reverse takeover

A takeover in which control of the combined business goes to the shareholders and management of the "acquired" business.

Take private

The purchase of and de-listing of a company so it returns to being a privately held company.

Takeover Panel

The UK's main regulator of issues connected to mergers and acquisitions.

City Code on Takeovers and Mergers

The City Code on Takeovers and Mergers; the regulations that control takeover bids in the UK.

Acquisitive growth

Growth that is the result of takeovers, as opposed to organic growth.

Golden share

A share with special voting rights, typically veto powers under certain cirumstances.