Question 12.RQ.4: Identify four tactics the directors of a target business mig...

Identify four tactics the directors of a target business might employ to resist an unwelcome bid after the bid has been received.

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Four methods of resisting a takeover bid, once a bid has been received, are:
● Find a white knight to take over the business instead.
● Refer the bid to the Competition Commission in the hope that this will result in a bid withdrawal.
● Issue information to shareholders indicating that it is not in their long-term interest to support the takeover.
● Increase dividend payouts. Other reasons could have been cited.

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