Poison Pill: A Tool for Spies That Also Describes a Corporate Strategy

From a Wall Street Journal column by Ben Zimmer headlined “‘Poison Pill’: A Tool for Spies Turned Corporate Strategy”:

When Tesla CEO Elon Musk made a $43 billion unsolicited bid to take over Twitter last week, the social-media giant responded by adopting a “poison pill” plan to ward off a takeover. The plan would prevent Mr. Musk from increasing his stake in Twitter beyond a limit of 15%. If he reached that threshold, all other shareholders would be allowed to purchase additional shares at a deep discount, diluting his stake in the company. Mr. Musk, for his part, said on Thursday he has lined up funding and is exploring making a tender offer, taking his bid directly to Twitter’s shareholders.