Potash One Inc. reports that it is adopting a shareholder rights plan agreement. 

The Rights Plan has been adopted to ensure the fair treatment of all Potash One shareholders in the eventuality of a possible take-over bid for the outstanding common shares of Potash One. In the event that a takeover bid should occur the Rights Plan provides a mechanism to ensure that shareholders have adequate time to properly evaluate and assess a take-over bid without facing undue pressure or coercion. The Rights Plan also provides the Board with additional time to consider any take-over bid and, if applicable, to explore alternative transactions in order to maximize shareholder value. As such, the Rights Plan is not designed to prevent take-over bids that treat Potash One shareholders fairly.

Potash One’s President and CEO, Paul Matysek comments:

“This Rights Plan is simply a proactive measure that we believe is appropriate to adopt in light of the increased pace of merger and acquisition activity in the mining industry. We feel this is the prudent thing to do to protect shareholder value while we are embarking on the current growth phase of the Company.”

For full details of this press release, click this link. To view Potash One’s company profile, click here. Follow developments in potash mining and exploration for free.
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