Hostile takeovers are often a high-risk affair that leaves a lasting impression on the corporate landscape. They involve a acquiring company attempting to take over the target firm against the wishes of the management and board. Despite their high-profile and public nature, hostile takeovers are not as frequent as they once were.
During the 1980s there were over 160 hostile takeover offers. Board members were in constant fear of “corporate raiders”, such as Carl Icahn. These incidents were widely covered, often leading to lengthy, mud-slinging negotiations.
One notable example is the acquisition of Cadbury in 2009 by Kraft Foods Inc. It was the largest hostile takeover in the history of the time, and was a source of anger for UK workers concerned about losing their jobs to foreign ownership. Cadbury’s management was against the offer due to it being a low-ball bid. Kraft made the offer more appealing and eventually acquired the confectionery giant.
Another noteworthy instance was the takeover of Airgas by KKR in 2010. This hostile takeover of an industrial gas supplier was among the largest leveraged acquisitions of that era. The dispute became an instant media sensation, and the deal ultimately ended up in a lengthy legal dispute.
Another recent instance is the acquisition of Twitter by Elon Musk in 2022. The hostile takeover was accompanied by the use of a poison pill defense, leading to a heated negotiation and sweeping policy changes following the acquisition. This is an example of how an acquisition that was strategic was able to outlast the https://jobdataroom.com/essential-features-of-virtual-data-rooms-for-business-growth/ hostile takeover battle. It illustrates how important it is to have a well-planned strategy to resist unwanted offers.