Many merger discussions breakdown or are abandoned. Which of these is not a reason why?
A
Egos can get in the way
B
Reluctance to accept which will become number two
C
The bid is deemed hostile leading to aggressive defense
D
Inadequate consultation with shareholders who then intervene
Correct Answer: The bid is deemed hostile leading to aggressive defense
Many merger discussions breakdown or are abandoned. The bid is deemed hostile leading to aggressive defense is not a reason. A merger refers to an agreement. It is a mutually binding contract in which two companies join together to form one company.