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:
“A woman is like a teabag—only in hot water do you realize how strong she is.”
—Nancy Reagan (b. 1923)
“...I believed passionately that Communists were a race of horned men who divided their time equally between the burning of Nancy Drew books and the devising of a plan of nuclear attack that would land the largest and most lethal bomb squarely upon the third-grade class of Thomas Jefferson School in Morristown, New Jersey.”
—Fran Lebowitz (b. 1950)
“Of the four wars in my lifetime, none came about because the U.S. was too strong.”
—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)