What is a Reverse Takeover?

Submitted by Marco on 24 June, 2008 - 22:36

The financial media at times talks about reverse takeovers. Learn what is a reverse takeover?

A reverse takeover is business jargon for a private company taking over a public company. This action is usually seen as the back door strategy or technique for a private company to be floated on the stock market, bypassing the cost of time and money of a conventional IPO (Intial Public Offering - i.e. float).

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