0 the act of buying enough shares in a company to be able to control it, in order to force the owners of the company to buy back these shares at a very high price:
1 to buy enough shares in a company to be able to control it, in order to sell them again at a very high price:
All manner of exotic devices have been invented to avoid that—golden parachutes, shark repellent, pacmac defences, greenmail and so on.
The practice of greenmail is not typically considered a tactic of private equity investors and is not condoned by market participants.
Greenmail is when someone buys a large block of a company's stock and threatens to take over the company unless he is paid a substantial premium over his purchase price.
