Atossa Genetics Surges 57% After Board Approves Poison Pill Stockholder Rights ProvisionRaymond Billings (Author) Published Date : Jun 03, 2014 00:23 ET
Shares of Atossa Genetics (ATOS) soared in afternoon trading Thursday after the development-state healthcare company's board of directors approved a stockholder rights agreement, which aims to deter coercive takeover tactics and encourage anyone attempting to acquire Atossa to first negotiate with the Board of Directors.
The rights agreement is specifically designed to deter coercive, unfair, or inadequate takeovers and other abusive tactics, and it will not prevent any takeovers that are implemented at a full and fair price, the company said. Based on the terms of the agreement, a rights agent will distribute to ATOS shareholders a dividend of one preferred stock purchase right for each share of common stock held as of May 26.
The rights will be exercisable only: if a person acquires 15% or more of common stock, or if a person, who already owns 15% or more, acquires an additional 2% of common stock.
Atossa Genetics Surges 57% After Board Approves Poison Pill Stockholder Rights Provision