Investor Glossary-white knightInvestor Glossary-white knightInvestor Glossary-white knightInvestor Glossary-white knightInsightful stock market charts - Click here
investor
Categories    # A B C D E F G H I J K L M N O P Q R S T U V W X Y Z

White Knight

The HTML to link to this page
 

A white knight is a friendly bidder who steps in to help a company that is having financial difficulties. The efforts of a white knight often occur during a takeover: the white knight makes a friendly bid to buy the struggling company in order to avoid the unwanted change in ownership. A white knight may do this voluntarily, or may be asked to do this by a company's management (this doesn't mean that the white knight will pull out after the bidding is complete). A white knight may also try to save a struggling company by simply putting money into that company. If a company is doing poorly financially, no other entities might be interested in it. The white knight accepts a significant risk when acquiring an indebted or bankrupt company. After acquisition, the white knight may try to rebuild the firm.



Rate this white knight definition...

Learn about investing with the Investor Glossary Term of the Day


Click here for insightful stock market charts. Where is the market headed? The answer may surprise you. Find out
with the exclusive & Barron's recommended charts of Chart of the Day.


Popular Terms: quality assurance, minority interest, command economy, Zero Cost Collar, APR, annual return, Key Rate Duration, average price per share, ex-dividend date, phantom income, risk management, in escrow, EBITDA, diluted share, option premium, cancelled check, covered put, required rate of return, labor relations, VIX, balance sheet, current ratio, LIBOR, real GDP, 401a, debt service coverage, 1031 exchange, margin rate, 144a, liquidity ratio, class C shares, wholly-owned subsidiary, deferred tax, irrevocable trust, 1035 exchange, stock market close, deferred revenue, implied volatility, reverse mortgage, retained earnings, dividends payable, inflation, stock split, open position, limit order, ex-dividend, FICO score, FTSE, per diem


Accounting | Banking | Bonds | Brokers | Economy | Futures | Mutual Funds | Options | Real Estate | Retirement | Stocks | Taxes | Technical Analysis
Investor Glossary | Term of the Day | Suggest a Term | Chart of the Day | Dogs of the Dow
©2004-2016 Investor Glossary - All rights reserved - Terms of Use