Re:Twitter board adopts poison pill after Musk’s $43B bid to...
by HWR_14 on Saturday April 16, 2022 @01:53AM
(#31049888)
> Vanguard, for example, has just had its range of further investment limited arbitrarily.
As I understand vanguards structure, they have no beneficial ownership of any company and therefore never trigger the poison pill.
> Who does this benefit besides the board?
This benefits anyone who is concerned that a rich person will buy 50%+1 of a company and use their equity to make decisions they are opposed to. Now if a rich person accumulate 20%, the other shareholders can dilute that rich person. That means the rich person has to convince other shareholders that decision is correct.
As I understand vanguards structure, they have no beneficial ownership of any company and therefore never trigger the poison pill.
> Who does this benefit besides the board?
This benefits anyone who is concerned that a rich person will buy 50%+1 of a company and use their equity to make decisions they are opposed to. Now if a rich person accumulate 20%, the other shareholders can dilute that rich person. That means the rich person has to convince other shareholders that decision is correct.