Which one of the following statements is false?
A) Poison pills encourage current owners to purchase more stock in the company.
B) Poison pills discourage potential high takeover bids.
C) Stockholders have to approve the acceptance of poison pill strategies before a corporation can use them.
D) Many institutional investors are opposed to the poison pill.

Question

Quizplus · Accepted Answer

Stockholders do not have to approve the acceptance of poison pill strategies before a corporation can use them. Poison pills are implemented by the board of directors without the need for shareholder approval.

Which One of the Following Statements Is False