Human Genome Sciences says its board has adopted a "poison pill" shareholder rights plan to ward off unsolicited takeover bids for the biotech drugmaker.
The plan will dilute holdings if anyone attempts to acquire 15 percent or more of the Rockville, Md., company's stock without board approval. British pharmaceutical giant GlaxoSmithKline has made an unsolicited takeover bid worth nearly $2.6 billion for the company.
Human Genome also says its board is recommending that shareholders reject that offer and not tender their shares. It says the offer amounting to $13 per share is inadequate and that Glaxo made it to take advantage of shares that were trading near a 52-week low price.
Glaxo and Human Genome Sciences split sales of the injectable lupus treatment Benlysta.