Corporate raid Definition
A corporate raid is a business term, sometimes also referred to as breaking a company. It describes a particular type of hostile takeover in which the assets of the purchased company are immediately sold off (business liquidation). The target company essentially disappears in the process.
This can be a profitable exercise if the company holds disposable assets or liquid investments that are valued higher than the company's current market capitalization. Examples would include companies holding valuable land or equipment, while their stock price is too low due to market factors. After taking a "hit" on their stock price for whatever reason, companies can become targets for a leveraged buyout.