Greenmail
A situation in which a large block of stock is held by an unfriendly company. This forces the target company to repurchase the stock at a substantial premium to prevent a takeover. It is also known as a "Bon Voyage Bonus" or a "Goodbye Kiss". Investopedia Says:
Not unlike blackmail, this is a dirty tactic, but it's very effective. Related Terms:
Bankmail
Dawn Raid
Hostile Takeover
Macaroni Defense
Poison Pill
Whitemail |