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Divyesh Mohankumar
on Nov 07, 2024

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The purpose of a proxy contest is for a group of shareholders to:

A) Acquire all of the remaining outstanding shares.
B) Accumulate sufficient votes to gain controlling seats on the board of directors.
C) Take a company private.
D) Maintain their current percentage ownership once a stock dividend is declared.
E) Gain control of the preferred stock.

Proxy Contest

A situation where competing groups of shareholders solicit votes from other shareholders to win control over the company's board of directors without intending to buy the company outright.

Controlling Seats

Positions of authority in a corporation's board of directors that allow for direct influence over the company's decisions.

Shareholders

Individuals or entities that own shares in a corporation, making them partial owners of the company.

  • Understand the role of shareholder rights and strategies in mergers and acquisitions.
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adham sarahinNov 10, 2024
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