Appraisal Rights

An appraisal right is a right granted to a public company’s minority shareholders which lets them demand that the price of the company’s shares be appraised by an independent appraiser in the event of a merger or acquisition.

Appraisal rights help to prevent an acquiring company from defrauding a target company’s shareholders by paying them less than their shares are actually worth.

More on this topic:
Swiss stock broker comparison

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