Lionsgate Advised to Take Poison Pill Against Icahn
A proxy advisory firm has recommended Lionsgate investors use the poison pill option to fend off the take-over bid of activist shareholder Carl Icahn, according to THE HOLLYWOOD REPORTER.
The trade quotes Glass Lewis & Co. as saying, “We believe that the Rights Plan may serve to protect shareholder interests in the event that a takeover bid does not reflect the full value of the Company's shares or is coercive.”
The poison pill would make it more expensive for a shareholder with more than 20% to purchase more shares.
Lionsgate shareholders plan to meet in Toronto on May 4 to vote on the plan.