Hostile takeover

This is the public offer of acquisition presented by a person or entity, without the prior acceptance of the governing bodies of the company whose shares are intended to be acquired. Some companies establish restrictions in their articles of association on voting, the appointment of administrators or other limitations (shielding) in order to avoid a possible hostile takeover bid. Minority shareholders must be aware of and assess these anti-takeover measures, since in certain circumstances they may damage their interests.