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Al Jazeera
Al Jazeera
Technology

What is Twitter’s ‘poison pill’ and what is it supposed to do?

Elon Musk
The San Francisco company's plan will be triggered if a shareholder accumulates a stake of 15 percent or more [File: Dado Ruvic/Illustration/Reuters]

Twitter is trying to thwart billionaire Elon Musk’s takeover attempt with a “poison pill”, a financial device that companies have been wielding against unwelcome suitors for decades.

On Thursday, Musk offered to buy Twitter with the revelation coming just days after the Tesla CEO said he would no longer be joining the social media company’s board of directors.

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