We'll assume you're an expert on the U.S. Constitution and, by extension, the Bill of Rights and the other amendments...you know, the first amendment (freedom of press, religion, etc.), the fifth amendment (don't talk to the police) and, of course, the twenty-third amendment (we don't have to explain that one, do we?).
The same idea behind Constitutional amendments applies to amendments in the financial world. A contract exists (like the Constitution). The parties want to change the contract ("hey, it looks like you guys forgot to guarantee free speech...let's fix that before we really get going on this government thing"). So amendments are added to the contract to enact the changes.
In business, companies can amend contracts to update information and alter terms. New prices, an updated end date, altered delivery expectations, even things like changed addresses can get worked into the original contract through amendments.
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Finance: What is a tender offer?5 Views
finance a la shmoop what is a tender offer isn't that how all offers should
be made you know tenderly like like Elvis and he was the king yeah you know [Man discussing tender offers]
Love Me Tender love me shmoop this last album anyway tendering is just a fancy [Elvis dancing on stage]
semi British II word for asking and it applies most often to governments and
large corporate entities seeking bids and you know for stuff like as part of
its huge commitment to providing true diversity in communities the US [Man wearing giant foam diversity finger]
government is going to build a chain of establishments called
stocks and bonds yeah these stocks and these bonds so there will be bondage [Wooden stocks and furry bonds appear]
parlors in each of the 50 capital cities in America with opposite stylings of a
whip it tenders for offers from contractors who submit bids to build the
building shells the noise reducers the you know leather storage areas the first
aid facilities yeah and it happens and so on why is this hole tender process [Man bent over a table and doctor walks away]
needed like why can't the government just hire their buddies to go out and
build it well if they had no guidelines or um discipline him then the room for
corruption in all kinds of misappropriation and it would be too big [Uncle sam stood beside woman on construction site]
and arrests would be made and cuffs would come out and file not the fun kind
so there's a process the government tenderly asks for bids and then people
you know submit well the same applies to corporate America things like takeover [Men shaking hands]
bids like good I don't know Google's paying all cash to buy Netflix they make
a tender offer at 300 bucks a share to buy all the shares out there why is it
tender well because Google is gently asking and hoping and praying that [Google hugging Netflix stock]
Netflix shareholders will in fact sell them their shares for 300 bucks apiece
once Google has enough share as well they effectively own the company
remember the common shares both the board and they can do with it what they
want hopefully those Netflix errs will you know behave these guys really just [Man smashing TV]
need to Netflix and chill
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