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Poison Pill: A Defense Strategy and Shareholder Rights Plan - Investopedia
Apr 28, 2024 · A poison pill is a defense tactic used to deter activist investors or acquirers from amassing enough shares to take control or staging a takeover without a board's consent.
Poison pill defense explained: what are the pros & cons?
Apr 22, 2022 · What is a poison pill defense? A poison pill defense is a strategy employed by companies to keep hostile takeovers and acquisitions at bay. Also known as a shareholder rights plan, it’s used to make the company less desirable and to make it …
Shareholder rights plan - Wikipedia
A shareholder rights plan, colloquially known as a "poison pill", is a type of defensive tactic used by a corporation's board of directors against a takeover. In the field of mergers and acquisitions , shareholder rights plans were devised in the early 1980s to prevent takeover bids by limiting a shareholder's right to negotiate a price for the ...
Why Is a Shareholder Rights Plan Called a "Poison Pill?" - Investopedia
Sep 28, 2023 · A poison pill strategy is another name for a shareholder rights plan. The poison pill name derives from the idea of making accumulating a controlling number of shares undesirable for the...
Poison Pill - A Shareholder Rights Plan to Prevent Hostile Takeovers
What is a Poison Pill? A shareholder rights plan, more commonly known as a poison pill, is a company’s defense against a potentially hostile, or unsolicited, takeover attempt.
Poison Pill: Meaning, Pros & Cons, Types, Examples, and More
Aug 16, 2022 · Poison Pill is a pre-offer defensive mechanism technique prevalent in the corporate world to thwart a hostile takeover. It is a strategy used by the Target Company to avoid the hostile takeovers completely or at least slow down the acquiring process.
What Is a Poison Pill? - The Balance
Apr 21, 2022 · A poison pill is a defensive tactic that companies use to prevent hostile takeovers, usually by making the target company more expensive and less attractive to acquire.
‘Poison Pill’ Defense: Definition & Purpose - Seeking Alpha
Jun 16, 2023 · A poison pill, or a shareholder rights plan, is a defense tactic enabling shareholders of a corporation to protect against a hostile takeover from an acquiring company or investor. Typical...
Takeover Defenses: Poison pills, staggered boards, shareholder …
Jun 18, 2024 · Takeover defenses are strategies employed by companies to prevent or discourage hostile takeovers. These defenses can take various forms, including poison pills, staggered boards, and shareholder rights plans. This guide provides a comprehensive overview of these mechanisms, their legal foundations, and their implications for corporate governance.
Understanding Poison Pill Strategy: A Beginner's Guide to …
A poison pill, also known as a shareholder rights plan, is a defensive strategy employed by a company’s management to deter hostile takeovers or acquisition attempts by making the target company less attractive or more expensive to acquire.