1. Identify the takeover tactics employed by Mittal. Explain why each one was used.
2. Identify the takeover defenses employed by Arcelor. Explain why each was used.
3. Using the information in this case study, discuss the arguments for and against encouraging hostile corporate takeovers. Be as specific as possible.
4. Was Arcelor’s board and management acting to protect their own positions (i.e., according to the management entrenchment hypothesis) or the best interests of the shareholders (i.e., the shareholder’s interests hypothesis)? Explain your answer.

Ending five months of maneuvering, Arcelor agreed on June 26, 2006, to be acquired by larger rival Mittal Steel Co. for $33.8 billion in cash and stock. The takeover battle was one of the most acrimonious in recent European Union history. Hostile takeovers are now increasingly common in Europe. The battle is widely viewed as a test case as to how far a firm can go in attempting to prevent an unwanted takeover.