Definition of poison pill in English:

poison pill


  • A tactic used by a company threatened with an unwelcome takeover bid to make itself unattractive to the bidder.

    [as modifier] ‘poison-pill defences’
    • ‘At heavy-duty truck producer Navistar International in Warrenvilie, Ill., for example, a resolution to rescind the poison pill was supported by 83 percent of the quorum.’
    • ‘Oracle has said it will not go forth with the takeover with the poison pill in place.’
    • ‘If allowed to continue pursuing the acquisition, the first step is to get the poison pill removed.’
    • ‘The next time you read a news release that says that your company is using a poison pill to ward off a takeover attempt, you'll now know what it means.’
    • ‘Whenever a board adopts a poison pill, it sets a ‘trigger,’ a percentage of stock that an acquirer must buy before the poison pill goes into effect.’


poison pill