Tokyo court blocks Toho poison pill in test of anti-activist defences
Tokyo court blocks Toho poison pill in test of anti-activist defences TOKYO, Sept 18 (Reuters) - A Tokyo court on Friday blocked drug wholesaler Toho Holdings' 8129.T takeover defence against an activist shareholder, in a closely watched case as Japanese companies increasingly resort to 'poison pill' strategies against activist investors.
The Tokyo District Court granted an injunction sought by Singapore-based hedge fund 3D Investment Partners, Toho's largest shareholder, blocking the company from issuing warrants that would dilute the fund's stake if it raised its holding above 24%.
The case tested whether companies can deploy poison pills, a discriminatory warrant issuance designed to dilute a targeted shareholder's stake, against activist investors seeking to raise their stakes without pursuing outright control.
(Reporting by Makiko Yamazaki; Editing by Jan Harvey)
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Tokyo court blocks Toho poison pill in test of anti-activist defences (updated)
Tokyo court blocks Toho poison pill in test of anti-activist defences