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Since you must pay at least a 40% premium over current market capitalization to achieve a successful takeover, a takeover bid for a company will usually require a significant amount of cash. You will need to carefully evaluate this investment.
The minimum realistic takeover bid is shown in the takeover dialog. This is based on a 40% premium over the current market capitalization. Remember that there may also be competing bids from other firms, so you may wish to go higher than the realistic minimum. All other things being equal, the highest bidder wins!
Here we limit shareholdings in other firms to complete takeovers of other firms in the industry achieved by purchasing all shares from the sharemarket at large (at a premium on the previous period’s ending share price), holding them for a period of time (receiving dividends and performing various capital transfers), and then selling them back to the sharemarket at large at the current price. (Note that partial shareholdings and selling shareholdings directly to other firms are excluded.) We also exclude mutual shareholdings and circular ownership.
Antitrust provisions
Shareholdings in other firms is also limited to prevent a company from controlling too much of the bike market simply by acquiring other companies.