alleryStart learning →An arm's length merger needs approval by disinterested
ALenders and auditors
BDirectors and stockholders
CRegulators and courts
DEmployees and unions
Answer & Solution
Correct answer: B. Directors and stockholders
Both disinterested directors and disinterested stockholders must approve, and the two elements are complementary.
Keep practising Mergers Acquisitions and Corporate Restructuring
Browse all Mergers Acquisitions and Corporate Restructuring questions for CA Final, or explore more Strategicfinancialmanagement topics.
Related questions
In a management buy-in (MBI), the shares are bought bySenior LBO debt is secured and carriesWhich target suits an LBO best?Debt is cheaper than equity in an LBO since interestIn a leveraged buyout, the target's assets often serve asWhich US law requires shareholder votes on future golden parachutes?A golden parachute pays an executive onA gray knight is a bidder seen as