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reverse takeover

A Dictionary of Business and Management | 2006 | © A Dictionary of Business and Management 2006, originally published by Oxford University Press 2006. (Hide copyright information) Copyright

reverse takeover
1. The buying of a larger company by a smaller company.

2. The purchasing of a public company by a private company. This may be the cheapest way that a private company can obtain a listing on a stock exchange, as it avoids the expenses of a flotation and it may be that the assets of the public company can be purchased at a discount. The majority of reverse takeovers in the UK are now transacted on the Alternative Investment Market.

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