White Knight Strategic Rescue in Hostile Takeovers

2075 reads · Last updated: November 26, 2025

A White Knight is a term used in mergers and acquisitions to describe a friendly acquirer who comes to the rescue of a target company facing a hostile takeover. The White Knight typically offers a higher price or more favorable terms than the hostile bidder, thereby helping the target company avoid being taken over by the hostile party. The intervention of a White Knight is generally seen as beneficial to the target company's management and shareholders, as it can provide better acquisition terms and protect the company's long-term interests.

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