What does it mean to buy a company?

What does a company acquisition mean? Company acquisition refers to equity acquisition, which means that shareholders of the target company buy shares, and then acquire all or part of the shares of the target company to gain control over the target company.

Legal basis: Article 72 of the Company Law? When the people's court transfers the shareholder's equity according to the compulsory execution procedure prescribed by law, it shall notify the company and all shareholders, and other shareholders have the preemptive right under the same conditions. Other shareholders who fail to exercise the preemptive right within 20 days from the date of notification by the people's court shall be deemed to have waived the preemptive right.