Twitter has adopted a new measure that will act as a “poison pill” to ward off Elon Musk’s takeover bid.

The news: Twitter added a shareholder rights plan that would stop hostile acquisition bids, which would immediately stop Musk’s offer to buy the company.

  • The company added the plan “following an unsolicited, non-binding proposal to acquire Twitter,” the company’s board of directors said in a press release.
  • According to The Verge, the move would block takeovers by giving some shareholders the right to buy more stock if an outsider wants to grab control of the company.

A look back: Musk offered to buy Twitter outright for $43 billion on Thursday, saying Twitter needs to be made private.

  • Musk made the offer after he bought a 9.2% stake in the company and became Twitter’s largest stakeholder, as I reported for the Deseret News.

Musk said he would not join Twitter’s board of directors after reports that he would join the board.

So it looks like Musk’s bid to buy Twitter outright won’t be met with open arms.