Series 79: Stop-look-and-listen Communication

Taken from our FINRA Investment Banking Exam

Definition of the term Stop-look-and-listen Communication...

an initial communication from a tender offer target to its shareholders. It is an exception to the rule that all such communications must be done using Schedule 14D-9. It allows the target to identify the tender offer, state that management is reviewing it, give a date by which the target will make a recommendation to shareholders, and request that shareholders not decide whether to tender their shares before receiving the recommendation.

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