The Law Dictionary

Featuring Black’s Law Dictionary Free Online Legal Dictionary 2nd Ed.

What is GREENMAIL

It is a type of blackmail as a corporate raider holds enough stock to conduct a hostile takeover. This forces the threatened firm to buy back the raider’s shares at an inflated price. just for creating a takeover threat the raider earns a large profit. The action’s name comes from needing a lot of ‘greenbacks’ the nickname for US dollars, to end the threat.

Share on facebook
Facebook
Share on twitter
Twitter

Disclaimer

Nothing implied or stated on this page should be construed to be legal, tax, or professional advice. The Law Dictionary is not a law firm and this page should not be interpreted as creating an attorney-client or legal adviser relationship. For questions regarding your specific situation, please consult a qualified attorney.