Definition - What does White Knight mean?
A white knight refers to an investor who protects a firm from an attempted hostile takeover by acquiring the firm. The term derives its meaning from the literary white knight who always saves the day. In business, the target firm seeks out white knight investors for a friendly takeover.
Divestopedia explains White Knight
In some cases, a white knight may also be an investor who acquires a struggling firm (at great risk) to rebuild it. In this situation, the target firm is not under any threat of a hostile acquisition.
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