Question: Where can I find info on a company's use of poison pills?
A company Shareholder Rights Plan (also known as a “Poison Pill”) is a corporate defense mechanism used to prevent a hostile takeover of a public company. The target corporation uses a Poison Pill in order to make its stock less attractive. Not all companies have a Poison Pill in place. Generally, the Poison Pill has an expiration date and may be amended, extended or retired. A company will file its Shareholder Rights Plan with the company's SEC filings, generally as exhibit 4.1 to a Form 8-A or an 8-K. The plan can be tricky to find in the SEC filings.
Go to the Virtual Business Library's Company & Financial Information section for links to useful resources including the following suggested resources:
Thomson ONE Banker: Provides public company Poison Pill information. Go to the Company View and choose Corporate Governance. Under the Corporate Governance tab, choose Takeover Defenses, which will provide information about the company's Poison Pill.
IntelliConnect: Provides explanations about Poison Pills as well as white papers, laws, regulations, and case law.