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Greenmail Payment

 
Accounting Dictionary: Greenmail Payment

Payoff given to a potential acquirer by a company targeted for a takeover. In most cases, the targeted company buys back its shares at a significantly higher price. In reciprocation for selling the shares back, the suitor agrees to end the attempted takeover.

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Accounting Dictionary. Dictionary of Accounting Terms. Copyright © 2005 by Barron's Educational Series, Inc. All rights reserved.  Read more