Pacman defence

Corporate strategy designed to repel an unwanted takeover bid for a company. Named after the computer game, the Pacman defence requires the subject of the bid, the target company, to make a bid for the company proposing the takeover, the predator. The aim is to confuse the situation sufficiently to discourage support for the predator's bid, while simultaneously posing enough of a threat to the predator to make it think twice about its proposed course of action.