Much like fairy tales, sleeping beauty, in financial context also, waits for its prince charming.
A company which is ripe for takeover or acquisition (sleeping beauty), but has not yet been considered for acquisition by investors (prince charming).
Sleeping beauty is usually a small or a mid-sized firm which could be attractive for investors for various reasons including, attractive assets, real estate value, undervalued shares, etc. The prince charming may not recognise these companies because of lack of familiarity. The sleeping beauty may be acquired because it has not yet reached its full potential or does not have the best management.
A suitable example of a sleeping beauty would be start ups, which are in the nascent stage and are attractive to investors because the start up has not yet hit its complete potential yet. Theoretically, investments should help the start up unlock its full potential.
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