White knight

A white knight is an alternative acquirer whose proposal the target board considers preferable to an existing unwanted bid. Preference might reflect price, certainty, strategy or other permissible factors, but the offer still needs independent evaluation and compliance with applicable takeover rules. The term describes the role in a contested transaction, not proof that the alternative is cheaper, legally approved or beneficial to every stakeholder. Financing, conditions and completion risk can make the apparently higher bid less attractive.