Dozens of academic papers have been published on the topic, discussing everything from which defenses have the largest antitakeover
effects (5) to whether defenses increase or decrease shareholder wealth.
The company is continuing to explore a range of strategic options, and the plan is not intended to be an antitakeover
measure or to deter offers that are fair and otherwise in the best interests of Aceto's stockholders.
(2003) governance index, defined as the sum of 24 antitakeover
of staggered boards to oppose antitakeover
Defenses, and the Perils of Federal Intervention,
(139) Incorporation information is thus relevant to capture the differences between states' antitakeover
(or pro-takeover) stances and, more generally, the extent to which a state legislation can be considered as more managerial-friendly or shareholder-friendly.
They find that acquirers with more antitakeover
provisions experience significantly lower announcement-period abnormal stock returns.
Amendments, Managerial Entrenchment, and the Contractual Theory of the Corporation." Virginia Law Review 71(8): 1257-1303.
Thus, the evidence documented by Hotchkiss (1995) could be related with the early time horizon, especially considering the higher antitakeover
leverage of firms in the 1980s.
Once the board and upper management owns at least 30% of the company's stock, we would regard the protection against a hostile takeover afforded by that ownership as so significant that the additional protection offered by other antitakeover
devices is not material.
Typically, critics of short-termism support stronger antitakeover
protections in order to encourage longterm corporate investment.
Ownership structure and voting on antitakeover