In my point of view hostile
takeovers are ethical and legal in nature. Hostile takeover is
acquisition of one company by other company without the consent of
the targeted company.
If the acquisition or takeover is
hostile then in that case there is no prior agreement between the
companies regarding merger or acquisition.
As it is not done through any
illegal means then it is always ethical as it is a general practice
under the corporate world.
It is ethical because the company
offers the targeted company and stockholders. Through this offer
the company offers a specific amount against the shares and
eventually takeover the company.
It will be called unethical if it
is done by adopting any unfair practice or means which is not
considered legal in the eyes of law.