A potential acquirer which outbids a white knight in pursuit of its own best...
Acquiring company that, acting to advance its own interests, outbids a White Knight but that, not being unfriendly, is preferable to a hostile bidder.
A term used to describe an acquiring company that outbids a white knight. Since the acquiring company is not unfriendly, management of the target company considers it better that the white knight be outbid by a gray knight than that the white knight be outbid by a hostile company or raider.
In a merger or acquisitions, a gray knight is an acquiring company that outbids a white knight in pursuit of its own best interests, although it is friendlier than a hostile bidder.
A second, unsolicited bidder in a corporate takeover. A gray knight enters the scene in order to take advantage of any problems between the first bidder and the target company.
A gray knight is an acquiring company that enters a bid for a hostile takeover in addition to the target firm and first bidder. The gray knight is more favorable than the black knight (unfriendly bidder), but less favorable than the white knight (friendly bidder); it will usually take advantage of any problems between the target firm and other bidders.
