Illustration by Kristen Radtke / The Verge; Getty Images
Twitter’s board of directors has issued a new “shareholder rights plan” to block Elon Musk’s proposed buyout offer, a major setback to the billionaire’s efforts to take full financial control of the company.
The plan was adopted “following an unsolicited, non-binding proposal to acquire Twitter,” the company’s board of directors noted in a press release announcing the change.
This maneuver, known in the finance world as a poison pill, blocks hostile takeovers by giving certain shareholders the right to purchase more stock if an outsider attempts to seize control.
The plan was adopted “following an unsolicited, non-binding proposal to acquire Twitter”
The plan strongly suggests that Twitter’s board intends to fight Musk’s bid to take…
