Parking Violation


DEFINITION of 'Parking Violation'

The illegal practice of an acquiring company concealing ownership of the target company by holding stock under a related third party before attempting corporate takeover.

BREAKING DOWN 'Parking Violation'

Unlike the parking violations that many of us as drivers commit inadvertently, this type of violation is  deliberately hostile. By having a third party hold significant portions of stock, the acquiring company can prepare for a takeover without exceeding certain ownership reporting levels and alerting the target company.

  1. Takeover

    A corporate action where an acquiring company makes a bid for ...
  2. Hostile Takeover

    The acquisition of one company (called the target company) by ...
  3. Target Firm

    A company which is the subject of a merger or acquisition attempt. ...
  4. Parking

    A form of kiting shares that a brokerage commits by moving long ...
  5. Skinny Down Distribution

    Skinny down distribution is corporate practice of slimming down ...
  6. Brand

    A distinguishing symbol, mark, logo, name, word, sentence or ...
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