The board of directors of Great Sandhills Terminal Ltd. has adopted a shareholder rights plan, commonly called a poison pill, that was effective on Sept. 7.
The move is not in response to a specific anticipated takeover of the independent terminal located near Leader, Sask.
However, recent consolidation within the grain industry, in related agriculture products and service areas and in the food processing industry, has prompted the company to initiate the move.
“By putting this plan in place, our shareholders and the board of directors will have adequate time to evaluate any unsolicited takeover bid made for GST common shares,” said chair Wayne Hittel in a news release.
“It also provides the board time to identify, develop and negotiate value enhancing alternatives, to encourage the fair treatment of shareholders in connection with any takeover bid.”
Shareholders will be asked to ratify the rights plan at the annual meeting in January. A copy of the rights plan will be available for review from the Great Sandhills office or at www.sedar.com.
