shark repellent



  • noun action taken by a company to make itself less attractive to takeover bidders. Companies can take various courses of action to make themselves unattractive to raiders. The company’s articles can be changed to make it necessary to have more than a simple majority of shares to acquire voting control; directors can be given contracts with golden parachute packages which would be extremely expensive to implement; the company can create vast amounts of debt and give cash to its shareholders as bonus payments.