BEAR HUG

Today's word: BEAR HUG
Theme for this fortnight: MERGERS & ACQUISITIONS

It is used in takeover situations. It is an indication to the board of a target company that an offer of takeover is under consideration. A strong bear hug is a formal notice to the target company of an intended takeover. A teddy bear hug is an indication from a target company that it will favorably consider a takeover, but at a higher price than offered.