Container Store Group (TCS) said Tuesday it has adopted a limited-duration shareholder rights plan through Oct. 7, 2025.
The move is in response to the "rapid and significant accumulation of the company's common stock by a single stockholder and to protect value for all of the company's stockholders," Container Store said.
Under the plan, one preferred stock purchase right will be distributed for each common share held by shareholders of record Oct. 23. The rights will become exercisable if a person or group acquires at least 20% of the company's common shares. Each right will entitle the holder to buy additional common shares at a 50% discount, the company said. The rights will expire Oct. 7, 2025.
Container Store shares were down 9.1% in recent trading.
Price: 9.25, Change: -0.93, Percent Change: -9.10
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