Proxy Fight

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DEFINITION of 'Proxy Fight'

When a group of shareholders are persuaded to join forces and gather enough shareholder proxies to win a corporate vote. This is referred to also as a proxy battle.

INVESTOPEDIA EXPLAINS 'Proxy Fight'

This term is used mainly in the context of takeovers. The acquirer will persuade existing shareholders to vote out company management so that the company will be easier to takeover.

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  1. Under what circumstances might a company decide to do a hostile takeover?

    A company may decide to attempt a hostile takeover if the target company's board of directors is not open to negotiations ... Read Full Answer >>
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    Investors in publicly traded firms can influence C-suite executives by exercising voting rights or engaging in investor activism. ... Read Full Answer >>
  3. How do proxy fights work?

    A proxy fight occurs when a group of shareholders in a particular company attempts to join together to effect change in ... Read Full Answer >>
  4. Why should investors research the C-suite executives of a company?

    C-suite executives are essential for creating and enacting overall firm strategy and are therefore an important aspect of ... Read Full Answer >>
  5. Why are the terms 'merger' and 'acquisition' always used together if they describe ...

    The terms "merger" and "acquisition" are used together because they both describe processes by which two companies become ... Read Full Answer >>
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