Definition of Asset-Liability Defense
What is an Asset-Liability Defense
An asset and liability defense would involve using legal hurdles, barriers and maneuvers to make it more challenging to acquire the target company and to deter the acquirer from pursuing a hostile takeover attempt.
Here are a few options that a target company could choose to pursue.
Legal Lockups
The target company may be able to use legal challenges to halt or delay the acquisition by making it less lucrative to the acquirer or by making it illegal under existing law.
Asset Restructuring
The target company may be able to acquire assets that the acquirer does not want or that will create antitrust problems. Alternatively, the target company could sell valuable assets that the acquirer desires, thus making the acquisition less valuable to them.
Litigation
The target company may seek a legal action through the FTC or SEC alleging that a merger or takeover violates antitrust or securities laws.
GlobEx Markets Financial Dictionary of Terms, Phrases and Concepts
The GlobEx Markets financial dictionary is a reference resource that provides the definitions and explanations of various financial terms, phrases and concepts that are used in international finance and global investing. It includes a broad range of financial terms, such as those related to stocks, bonds, currencies, commodities, options, futures, crypto and much more.
A financial dictionary can be useful for anyone who wants to learn more about finance and investing, or who works in the financial industry. It can help clarify the meaning of technical terms and the language used in financial publications, reports and other sources.
Benefits of the GlobEx Markets Financial Dictionary
There are several benefits to using the GlobEx Markets financial dictionary, including:
- Clarifying Technical Terminology: The financial world is filled with complex terms and language that can be confusing to those who are not familiar with it. A financial dictionary can help clarify the meaning of technical terms and make them more understandable.
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Overall, the GlobEx Markets financial dictionary can help improve your understanding of international finance and global investing. It is a valuable tool for anyone who works in the financial industry or who wants to improve their financial literacy.
Related Investment Terms
Black Knight
Hostile Takeover
White Squire Defense
