A takeover offer is a proposal made by one company to another, in which it seeks to acquire or merge with the target company. This usually involves an offer to purchase shares from existing shareholders at a premium price, as well as potentially offering new shares to raise capital for future growth. The goal of such an offer is often to expand the acquiring company's operations, increase market share and enhance its financial performance. Takeover offers can be friendly or hostile, depending on whether the target company welcomes the proposal or not.