57 “A tender offer is an offer to stockholders of a publicly-held corporation to exchange their shares for cash or securities at a price higher than the previous market price. A tender offer is the most common way of carrying out a hostile takeover.” Which of the following can NOT be derived from the above description?
(A) The price offered in a tender offer transaction is often with a premium.
(B) A tender offer is usually an unfriendly acquisition of the target company.
(C) The target’s shareholders will get cash or shares if they tender their shares.
(D) An acquirer of a closely-held company can launch a tender offer.