Mergers & Antitrust Law News

HP Adopts Shareholder Rights Plan to Slow Xerox Takeover Bid (2)

Feb. 21, 2020, 5:54 PM

HP Inc., fighting off a hostile acquisition bid by Xerox Holdings Corp., adopted a shareholder rights plan that would make the takeover more difficult to carry out.

If a person or group acquires 20% or more of HP’s stock, the plan would let other shareholders boost their voting power and dividends, HP said in a statement.

The plan “guards against coercive tactics to gain control without paying all shareholders an appropriate premium for that control,” the company said. The program wouldn’t block a merger or takeover, but would “encourage Xerox (or anyone else seeking to acquire the...

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