Takeover arbitrage refers to a trading strategy that involves purchasing shares in a target company that is about to be acquired by another firm, with the goal of profiting from the price differences that arise due to the acquisition. Some synonyms for takeover arbitrage include merger arbitrage, risk arbitrage, and event-driven investing. Merger arbitrage is similar to takeover arbitrage, but involves the purchase of shares in both the target and acquiring companies. Risk arbitrage focuses on the risks associated with the acquisition, while event-driven investing covers a range of trading strategies that aim to profit from specific events, such as mergers, acquisitions, or other corporate actions.