Consortium Strategy: Stretching the Limits of Hostile Takeovers
11 Pages Posted: 8 Apr 2008
The RBS consortium's approach could become a trend and open up potential corporate holdings that were previously thought out of reach.
This paper looks at the advantages and drawbacks of group bidding, such as the problem of diversification for conglomerates and the market's tendency to value them at a discount to more focused companies.
Keywords: consortium, hostile, takeover, strategy, corporate, finance
JEL Classification: G21, G34
Suggested Citation: Suggested Citation