Tender offer

A tender offer is a public invitation for shareholders to sell their stock at a specific price, usually higher than the current market price. You'll typically see this when one company wants to buy another, or when a company wants to buy back its own shares. It matters because it signals major corporate moves—and gives you a chance to decide whether to take the offer or hold out for something better. For example, if TechCorp announces it will buy all shares of SoftwareInc at $50 per share, that's a tender offer. Shareholders then decide: sell now at that guaranteed price, or keep the stock and hope for more. It's a formal, regulated process that protects investors by being transparent and giving everyone equal opportunity.