Netflix moves to block a hostile takeover

Written By Unknown on Senin, 05 November 2012 | 23.16

NEW YORK — Less than a week after activist investor Carl Icahn announced a 10 percent stake in Netflix, the online video company is moving to protect itself against hostile takeovers.

The Los Gatos, Calif., company said Monday that it has adopted a shareholder rights plan.

Icahn disclosed his stake in Netflix Wednesday.

Under the plan, rights are exercisable if a person or group acquires 10 percent of Netflix, or 20 percent in the case of institutional investors, in a deal not approved by the board.

Netflix Inc. says its plan isn't intended to interfere with a transaction that's approved by its board.

Shares are down 99 cents to $75.91 in morning trading.

© Copyright 2012 Associated Press. All rights reserved. This material may not be published, broadcast, rewritten, or redistributed.


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