takeover

noun

take·over | \ ˈtāk-ˌō-vər

Definition of takeover

(Entry 1 of 2)

: the action or an act of taking over

take over

verb

Definition of take over (Entry 2 of 2)

transitive verb

: to assume control or possession of or responsibility for military leaders took over the government

intransitive verb

1 : to assume control or possession

2 : to become dominant

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Examples of takeover in a Sentence

Noun

The government experienced a military takeover in 2002. the new government's high-handed takeover of private industries

Verb

I'll take over for her until she gets back from her morning break. took over the responsibility of caring for the animals

Recent Examples on the Web: Noun

That would end one way: bankruptcy and a state takeover of the school district, which would be catastrophic to everyone involved. — Austin Beutner, WSJ, "L.A. Schools Have a Math Problem," 14 Jan. 2019 Another power that could fall to Lewis under state takeover law: setting the tax rate. — Darcy Costello, The Courier-Journal, "Tax rates, charters and more: The powers JCPS could lose in a takeover," 23 May 2018 Dorchester Academy, which the state declared to be underperforming nearly four years ago due to low standardized test scores and graduation rates, has been struggling to boost student achievement, putting the school at risk of a state takeover. — James Vaznis, BostonGlobe.com, "Dorchester Academy scheduled to close," 20 Apr. 2018 Dutch takeover laws provide more protection against hostile approaches than the U.K.’s code, requiring boards to take into account the interests of workers, not just shareholders. — Fortune, "Why Unilever Is Abandoning its London Base for Headquarters in the Netherlands," 15 Mar. 2018 Dutch takeover laws provide more protection against hostile approaches than the U.K.’s code. — Bloomberg.com, "Unilever Picks Netherlands Over U.K. as Base in Blow to May," 15 Mar. 2018 Sunderland's takeover by businessman Stewart Donald and his consortium is virtually complete after the change of ownership from American billionaire Ellis Short was ratified by the English Football League (EFL) at a meeting last week. — SI.com, "Stewart Donald Completes Sunderland Takeover and Hints at Potential for Coleman Return," 21 May 2018 The move rattled shares of Viacom, with investors betting that a CBS takeover is less likely. — Bloomberg, Fortune, "CBS Sues Redstones' Firm in Escalation of Longstanding Fight," 14 May 2018 Target's $550 million takeover of same-day delivery service Shipt (which does Kroger home delivery in some markets) might be a key asset drawing Kroger's interest. — Alexander Coolidge, Cincinnati.com, "Report: Kroger, Target flirt with mega-merger," 23 Mar. 2018

Recent Examples on the Web: Verb

Thandie Newton has been giving us beauty and life inspiration for years, and now, her 14-year-old daughter Nico Parker is here to take over the reins. — Leah Prinzivalli, Allure, "Thandie Newton and Her 14-Year-Old Daughter Nico Parker Basically Look Like Twins," 12 Mar. 2019 Jordyn even let Jaden take over her Instagram in 2015 and (presumably) write a quote that's...a bit rambly, but sweet? — Katherine J. Igoe, Marie Claire, "How Do Jordyn Smith and Jada Pinkett Smith Know Each Other?," 1 Mar. 2019 Today Chanel said that Lagerfeld’s right of hand Virginie Viard, who came out in his place at the January couture show, would take over creative work for the collections. — Nicole Phelps, Vogue, "Legendary Designer Karl Lagerfeld Has Died," 19 Feb. 2019 Alongside the new pricing changes, the company announced that executive vice president Khalid Itum would be taking over the day-to-day running of the business from current CEO (and former Netflix executive) Mitch Lowe. — Jon Porter, The Verge, "MoviePass will launch three new subscription plans in January," 6 Dec. 2018 Schebler was activated the day Riggleman took over. — John Fay, Cincinnati.com, "Cincinnati Reds manager Jim Riggleman is reluctant to take credit for the team's turnaround," 13 July 2018 Think Progress Managing Editor Tara Culp-Ressler will take over his duties until a new EIC can be found. — Emily Dreyfuss, WIRED, "Judd Legum Wants to Fix News With a Newsletter," 12 July 2018 The amount raised from April through the end of June is her largest-ever quarterly take over her two election cycles, the campaign said. — Steven Lemongello, OrlandoSentinel.com, "Stephanie Murphy passes $2 million mark in fundraising," 11 July 2018 Try your hand at a huge gong or slip into one of the soundproof practice rooms and let your inner drummer take over. — Sarah Bahr, Indianapolis Star, "Ultimate Indiana bucket list: 50+ things to do in Indianapolis and around the state," 11 July 2018

These example sentences are selected automatically from various online news sources to reflect current usage of the word 'takeover.' Views expressed in the examples do not represent the opinion of Merriam-Webster or its editors. Send us feedback.

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Dictionary Entries near takeover

take out a patent on

takeout double

take out insurance on

Statistics for takeover

Last Updated

17 Mar 2019

Look-up Popularity

Time Traveler for takeover

The first known use of takeover was in 1618

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More Definitions for takeover

takeover

noun

Financial Definition of takeover

What It Is

A takeover is the purchase of a company. A takeover is different from a merger, which occurs when the purchaser and the target both cease to exist and instead form a new, combined company.

How It Works

Let's assume Company XYZ wants to acquire Company ABC. Company XYZ might just start buying ABC shares on the open market, but once Company XYZ acquires 5% of ABC, it must formally (and publicly) declare how many shares it owns to the Securities and Exchange Commission. Company XYZ must also state whether it intends to create an ABC takeover or just hold its existing shares as an investment.

If Company XYZ indeed wants to proceed with the takeover, it will make a tender offer to ABC's board of directors (followed by an announcement to the press). The tender offer will indicate, among other things, how much Company XYZ is willing to pay for ABC and how long ABC shareholders have to accept the offer.

The most common methods of determining the target's value are to look at comparable companies in the industry and to conduct a discounted cash flow analysis, but evaluating other measures such as P/E ratios, price-to-sales ratios, or even replacement costs provides valuable insight. Acquirers often have to pay a premium above the market price of the target company's shares in order to get the shareholders to agree to the takeover.

Once the tender offer is made, ABC can accept the terms of the offer, negotiate a different price, use a "poison pill" or other defense to avert the deal, or find somebody else to sell to who will pay as much or more as XYZ is offering. If ABC accepts the offer, regulatory bodies then review the transaction to ensure the combination does not create a monopoly or other anticompetitive circumstances within the industries involved. If the regulatory bodies approve the transaction, the parties exchange funds and the deal is closed.

Companies often conduct takeovers with cash, but they also use debt and their own stock as well, and there are often tax consequences associated with each form of currency.

Why It Matters

Takeovers can create a bigger, more competitive, more cost-efficient entities. This synergy -- that is, the idea that the two companies together are more valuable to the shareholders than they are apart -- is elusive, but it is what justifies most takeovers. After all, acquirers always have the much harder option of trying to "grow their own" by starting their own competitive ventures instead of buying someone else's. Targets often succumb to takeovers because at the end of the day, the price is right. And on both sides, a well-executed takeover can be the crowning jewel of a CEO's career.

Source: Investing Answers

takeover

noun