Articles on Stock markets

News, Research and Analysis

Help Center
Introduction
Investment Portfolios
Investment Terminology and Instruments
Technical Analysis and Trading
Cryptocurrencies and Blockchain
Retirement
Retirement Accounts
Personal Finance
Corporate BasicsBasicsCorporate StructureCorporate FundamentalsCorporate DebtRisksEconomicsCorporate AccountingDividendsEarnings

What does 'Poison Pill' Mean?

A ‘poison pill’ is a maneuver by a company to make itself less attractive to a hostile takeover. It can be used in an effort to avoid the takeover altogether, or at least to make the takeover more painful for the bidder.

One type of poison pill is a “flip-in,” which allows shareholders to buy shares of the company being targeted at a discount, which makes the takeover more expensive and more difficult.

What is a Hostile Takeover?
What is 'Pro Forma'?

Keywords: corporate finance, business owners, voting shares, Mergers and Acquisitions (M&A), hostile takeover, strategies, poison pill,