M&n stock is currently selling for $22 per share. the firm just made an offer to one of its major shareholders to repurchase all the shares owned by that shareholder for $26 per share. what type of offer is being made?

Respuesta :

The type of offer that is being made is TARGETED REPURCHASE.
Targeted repurchase refers to a method used by companies to prevent take over by a bidder. It involves asking a shareholder to sell back the company stocks to the company usually at a price that is higher than the current market price for the stocks. Companies use this strategy to buy back their stocks from a potential acquirer. 
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