Twitter announced a measure this Friday that it plans to delay or block the company’s acquisition by Tesla CEO Elon Musk.

The action, known in the business world as the “poison pill”, aims to make it harder for Musk, who already owns 9%, to buy more than 15% of Twitter shares.

Twitter made this decision public one day after the world’s richest man, Musk, offered $43 billion for the social network. And after threatening to sell all of his shares in the company if the takeover bid is rejected.

According to the statement made by the company, the board of directors unanimously accepted the “Rights Plan”. This “aims that all shareholders get the full value of their investment in Twitter.”

“The Rights Plan will reduce the likelihood of any legal entity, individual or group taking control of Twitter through open market hoarding. This is without paying all shareholders the appropriate premium for control or giving the board ample time to make informed decisions. And take actions that defend the interests of shareholders, ”explains the text.

This measure, which is considered legal and will expire in a year, does not mean that the council cannot accept or consider a proposed acquisition of the company, the statement said.

Twitter launches action to prevent Elon Musk from buying more shares of the company

After receiving Musk’s offer on Thursday, Twitter said it needed to analyze the offer. And it has increased the use of this “poison pill,” according to the Wall Street Journal.

Meanwhile, the South African billionaire said in a speech that he has a plan B if his offer is turned down. He insisted he had enough assets to finance the purchase. So if Twitter’s board accepts its terms, it can be done.

Musk is offering $54.20 per share with his purchase. This represents a 54% premium over the closing price of January 28, before I started investing in Twitter.

Likewise, it foresees a 38% premium according to the price of the shares. This was made public the day before his investment in the social network.