Posted On: 03/23/2014 2:18:47 AM
Post# of 36729
You know I always have a feeling in the back of my mind that some of the pro-bashers have been part of an attempt of a hostile take over, it would definitely explain all the messed up trading we have experienced because on most days it does not make sense. So been reading methods and strategies about it and saw this one which kinda sounds like what happened lately:
From Wiki
"In business, when a company is threatened with takeover, the crown jewel defense is a strategy in which the target company(iEQUITY/SKTO) sells off its most attractive assets(Berkeley Bio IP) to a friendly third party(AVNE) or spin off the valuable assets in a separate entity. Consequently, the unfriendly bidder (bashers or boss?) is less attracted to the company assets. Other effects include dilution of holdings of the acquirer(Increase of A/S both stocks?), making the takeover uneconomical to third parties, and adverse influence of current share prices"
From "how stuff works"
'The crown jewels defense - Sometimes a specific aspect of a company is particularly valuable. For example, a telecommunications company might have a highly-regarded research and development (R&D) division. This division is the company's "crown jewels." It might respond to a hostile bid by selling off the R&D division to another company, or spinning it off into a separate corporation. '
ALSO this sounds a little interesting too
Often, a proxy fight originates within the company itself. A group of disgruntled shareholders or even managers might seek a change in ownership, so they try to convince other shareholders to band together. The proxy fight is popular because it bypasses many of the defenses that companies put into place to prevent takeovers. Most of those defenses are designed to prevent takeover by purchase of a controlling interest of stock, which the proxy fight sidesteps by changing the opinions of the people who already own it.
From Wiki
"In business, when a company is threatened with takeover, the crown jewel defense is a strategy in which the target company(iEQUITY/SKTO) sells off its most attractive assets(Berkeley Bio IP) to a friendly third party(AVNE) or spin off the valuable assets in a separate entity. Consequently, the unfriendly bidder (bashers or boss?) is less attracted to the company assets. Other effects include dilution of holdings of the acquirer(Increase of A/S both stocks?), making the takeover uneconomical to third parties, and adverse influence of current share prices"
From "how stuff works"
'The crown jewels defense - Sometimes a specific aspect of a company is particularly valuable. For example, a telecommunications company might have a highly-regarded research and development (R&D) division. This division is the company's "crown jewels." It might respond to a hostile bid by selling off the R&D division to another company, or spinning it off into a separate corporation. '
ALSO this sounds a little interesting too
In a proxy fight, the buyer doesn't attempt to buy stock. Instead, they try to convince the shareholders to vote out current management or the current board of directors in favor of a team that will approve the takeover. The term "proxy" refers to the shareholders' ability to let someone else make their vote for them -- the buyer votes for the new board by proxy.
Often, a proxy fight originates within the company itself. A group of disgruntled shareholders or even managers might seek a change in ownership, so they try to convince other shareholders to band together. The proxy fight is popular because it bypasses many of the defenses that companies put into place to prevent takeovers. Most of those defenses are designed to prevent takeover by purchase of a controlling interest of stock, which the proxy fight sidesteps by changing the opinions of the people who already own it.
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