New York – Aeropostale Inc. has adopted a poison pill that would be set into motion if a stockholder buys 10% of the company.
The struggling retailer said it was not adopting the plan, effective November 26, 2013, in response to any takeover proposal. Rather, the plan aims to provide stockholders with adequate time to fully assess a takeover bid, and, if appropriate, allow the board time to explore alternatives to maximize stockholder value, the company said.
The announcement comes less than a week after investment firm Hirzel Capital Management LLC disclosed that it bought a 6% stake in the retailer. Also, last week, Aeropostale shareholder Crescendo Partners urged the chain to sell itself. Other investors have expressed concern about the retailer.
The company intends to put the plan to a stockholder vote at its 2014 annual stockholders meeting. The plan will expire on that day if it is not approved.