A "takeover" occurs when one company (the "acquirer") purchases or acquires another company (the "target"). A takeover in the public company context can be either "friendly" or "hostile." Typically, in a friendly takeover, the prospective acquirer will inform the Board of Directors of the offer and, if the Board determines that the transaction would be in the best interests of the shareholders, the Board will often recommend accepting the offer. This is considered a "friendly" takeover. However, when the prospective acquirer bypasses the Board or when the Board rejects the offer, the takeover can become "hostile."