The PAC-MAN Defense is a strategy used in mergers and acquisitions. It is a defensive tactic used by a company that is the target of a hostile takeover attempt. The company attempts to make itself less attractive to the potential acquirer by taking actions such as issuing new shares, buying back shares, or entering into a merger with another company. The name comes from the classic arcade game Pac-MAN, where the player must avoid being eaten by the ghosts. The goal of the PAC-MAN Defense is to make it more difficult for the hostile bidder to acquire the target company.