Takeover

See: Hostile Takeover. See: Takeout.

When you takeover a company, you...take it over. Duh. How is this magic effected? Well, usually there is a bidding process involving bankers, lawyers, and the Board of Directors, a vote, fairness opinions, and finally a "winner," who is the proud new owner of 83 million shares of whatever.com after having paid $81.28 a share. Something like that.

And remember: the common shareholders elect the Board, who then decides, in cooperation with bankers, if the takeover offer is fair or not. They usually seek other bids. And if the numbers work, then blammo, they're done.