Definition

Acquisition

An acquisition is the purchase of an entire company or a controlling interest in a company. The purchase of Federated Department Stores by Robert Campeau is a highly public example. by purchasing Federated Department Stores for $6.6 billion, Campeau, a Canadian, became the fourth-largest retailer in the United States.


Acquisition is purchase of controlling interest in a firm, generally through tender offer for the target shares.


Acquisition is the agreement in which one firm purchases another.


Acquisition results when one firm buys a majority interest in another, but both retain their identities.

Corporations that want a reliable supply of parts and materials or guaranteed markets for their products often use this tactic. They simply purchase enough of the outstanding shares of a supplier or a customer to exercise a controlling interest in that firm.

 

Webster Dictionary Meaning

1. Acquisition
- The act or process of acquiring.
- The thing acquired or gained; an acquirement; a gain; as, learning is an acquisition.
Share it:  Cite

More from this Section

  • Online Banking
    A whole new concept of online banking has arrived- the performance of banking activities ...
  • Guaranteed replacement cost
    Guaranteed replacement cost is in the event of a total loss, the insurer agrees to replace ...
  • Validation
    Validation is the study of an employer's test or selection standards that proves ...
  • Virtual office or workplace
    Virtual office/workplace is the work site of employees such as sales reps or other types ...
  • Attrition
    Attrition is the process of reducing an HR surplus by allowing the size of the workforce ...