EATONTOWN, N.J., Jan. 22 /PRNewswire-FirstCall/ -- Osteotech, Inc. (Nasdaq: OSTE), a leader in the emerging field of biologic products for regenerative healing, announced today that its Board of Directors adopted a Stockholder Rights Plan. The rights plan is designed to discourage coercive or unfair takeover tactics and to provide fair and equal treatment for all stockholders of the Company in the event that an unsolicited offer is made to acquire the Company. To implement the rights plan, the Board authorized the distribution of one right for each outstanding share of common stock of the Company to holders of record as of the close of business on February 2, 2010. The rights will expire on January 22, 2020.
The rights will initially trade only with the shares of common stock to which they are attached, and generally become exercisable only if a person or group becomes an "Acquiring Person" (as defined in the plan) by accumulating "beneficial ownership" (as defined in the plan) of 15% or more of the Company's outstanding common stock. At such time, each right will entitle the stockholder (other than an Acquiring Person) to purchase shares of the Company's preferred stock or, in some circumstances, shares of the acquiring person's common stock, having a value equal to twice the exercise price of the right (initially, $23.00 per right).
The rights plan provides that a person or group currently owning 15% or more of the Company's outstanding common stock will not be deemed to be an "Acquiring Person" if the person or group does not subsequently accumulate an additional 1% of the Company's outstanding common stock through open market
|SOURCE Osteotech, Inc.|
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