Sotheby’s Responds to Daniel Loeb with “Poison Pill” Strategy

October 6th, 2013

Sotheby's, via BloombergFollowing the open letter written to Sotheby’s by Daniel Loeb, the auction house has responded to its shareholders, detailing a “poison pill” strategy to ward off any attempts at a hostile takeover of the company.  The plan, which initiates a dividend offer for any share of outstanding stock, is triggered if any shareholder takes over 10% of the company’s stock. “The board had to respond to the attack and it is unsurprising they took this type of stance. But observers will be much more concerned after the events of this week. They are not out of the woods yet,” said Michael Plummer, a principal at ArtVest Partners.Read more at Financial Times