Bacon must be mine!

From subrule Hostile takeover:

If a Territory is Occupied by a Country, and that Country has a population greater than 1/4 the native population rounded up to the nearest integer, the Country may initiate a Hostile Takeover of the Territory.

I clearly have a population greater than 1/4 the native population of Bacon, in my homeland!.

The rule doesn’t say the population has to be in the territory that is to be taken over. Excalabur’s hostile takeover was therefore also completely legal.