Hostile Takeover (contrast)

A hostile takeover occurs when one company attempts to acquire another against the wishes of the target company's management and board. This often involves purchasing a significant amount of the target company's stock directly from shareholders or through a tender offer. In contrast, a friendly takeover happens when both companies agree on the acquisition terms, ensuring cooperation throughout the process. Hostile takeovers can lead to significant conflict, whereas friendly takeovers typically facilitate smoother negotiations and partnerships. Overall, a hostile takeover is marked by resistance, while a friendly takeover is characterized by mutual consent.