Hostile Takeover

Hostile Takeover – Instead of negotiating with the board of directors, the acquiring company directly approaches the shareholders—often by making a tender offer (offering to buy shares at a premium) or by This strategy enables the acquiring company to gain control of the target despite opposition from its leadership. Hostile takeovers are common in highly competitive industries and are typically motivated by objectives such as gaining market share, accessing strategic assets, or achieving economies of scale.

Example: In 2008, InBev’s hostile takeover of Anheuser-Busch, the maker of Budweiser beer, became one of the most notable cases in corporate history, ultimately leading to the formation of Anheuser-Busch InBev