The Nancy Reagan defense is a tactic in corporate finance used to counter a takeover or merger bidder who has made a formal bid to shareholders to buy their shares. When the board of directors of the target company meets to consider the bid, they "just say no."
For example, in a discussion of a takeover of the Walt Disney Company by Comcast, analyst Andy Kessler on Wall Street Week stated "there are two great Wall Street defenses. One is the Nancy Reagan defense and the other is the Pac-Man defense, right? And the Nancy Reagan defense is, just say no." The term refers to a catch-phrase coined by former United States First Lady Nancy Reagan advocating abstinence from recreational drug use.
Famous quotes containing the words nancy reagan, nancy, reagan and/or defense:
“I see the first lady as another means to keep a president from becoming isolated.”
—Nancy Reagan (b. 1923)
“Miss Nancy Ellicott smoked
And danced all the modern dances;
And her aunts were not quite sure how they felt about it,
But they knew that it was modern.”
—T.S. (Thomas Stearns)
“My fellow Americans, I am pleased to tell you today that I’ve signed legislation which outlaws Russia forever. The bombing begins in five minutes.”
—Ronald Reagan (b. 1911)
“Though a censure lies against those who are poor and proud, yet is Pride sooner to be forgiven in a poor person than in a rich one; since in the latter it is insult and arrogance; in the former, it may be a defense against temptations to dishonesty; and, if manifested on proper occasions, may indicate a natural bravery of mind, which the frowns of fortune cannot depress.”
—Samuel Richardson (1689–1761)