Whitemail
From Wikipedia, the free encyclopedia
In economics, Whitemail is an anti-takeover arrangement in which the target company will sell significantly discounted stock to a friendly third party. In return, the target company helps thwart takeover attempts, by 1) raising the acquisition price of the raider, 2) diluting the hostile bidder’s number of shares, and 3) increasing the aggregate stock holdings of the company.
See also:
Whitemail is also an anti-crime described by Terry Pratchett in his Discworld universe. Whitemail, being the opposite of blackmail, is the threatened revelation of a person's good deeds for purposes of ruining the person's reputation (e.g. as a gangster)
[edit] References
- Whitemail. Retrieved on 2006-12-7.
