Search
 

Stratus Approves Shareholder Rights Plan

AUSTIN-Stratus says it's a preventive measure in the event of a buyout. Execs say they don't know of any current attempts to make a play for the company, but the revised rights kick in if a buyer goes after 20% or more of the common stock.

By Tim Green | Updated on May 23, 2002

AUSTIN-Stratus Properties Inc., an Austin-based real estate company, has adopted a new shareholders right program that it says would make sure shareholders get full value if the company receives an unsolicited acquisition offer. The aim is to discourage an attempted takeover without negotiating with Stratus’ board of directors.

The company says rights granted under the new plan would give a shareholder the ability to purchase an additional share of Stratus common stock from the company at 50% of market price. The rights would kick in if someone buys or announces the intention to buy 20% or more of Stratus’ common stock.

Want to continue reading?
Become a Free ALM Digital Reader.

Once you are an ALM digital member, you’ll receive:

  • Unlimited access to GlobeSt and other free ALM publications
  • Access to 15 years of GlobeSt archives
  • Your choice of GlobeSt digital newsletters and over 70 others from popular sister publications
  • 1 free article* every 30 days across the ALM subscription network
  • Exclusive discounts on ALM events and publications

*May exclude premium content
Already have an account?

NOT FOR REPRINT

© 2024 ALM Global, LLC, All Rights Reserved. Request academic re-use from www.copyright.com. All other uses, submit a request to [email protected]. For more information visit Asset & Logo Licensing.

GlobeSt

Join GlobeSt

Don't miss crucial news and insights you need to make informed commercial real estate decisions. Join GlobeSt.com now!

  • Free unlimited access to GlobeSt.com's trusted and independent team of experts who provide commercial real estate owners, investors, developers, brokers and finance professionals with comprehensive coverage, analysis and best practices necessary to innovate and build business.
  • Exclusive discounts on ALM and GlobeSt events.
  • Access to other award-winning ALM websites including ThinkAdvisor.com and Law.com.

Already have an account? Sign In Now
Join GlobeSt

Copyright © 2024 ALM Global, LLC. All Rights Reserved.