Kodak Reserves Stock To Avoid Buyout

Kodak's been having a rough time recently. The company's worth is currently just $600 million. While that may sound like a lot for a company that isn't doing so well, some hungry investors may see it as an amazing opportunity.

While Kodak's camera business isn't doing so well, the company does hold a wide array of patents involving cameras, film and plenty else. If an investor wanted to acquire those patents with no questions asked, they could simply buy up the company.

Kodak has a plan in place to prevent this from happening - something that's referred to as "The Poison Pill." The company has created special private stock that it will issue to all shareholders if anyone tries to buy five percent of the company or more. This makes any takeover look less attractive, since there will be even more stock to buy.

(via PetaPixel)