$1.50 per share works for me: The Rights Agreement is designed to ensure that all LSC ($LKSDQ) stockholders receive fair and equal treatment in the event of any proposed takeover of the Company and to guard against tactics to gain control of LSC without paying all stockholders a premium for that control.
At the time of issuance, the Rights, which will be evidenced by the Common Stock certificates, will automatically trade with the Common Stock and will not be exercisable. Upon the earlier of (i) LSC announcing that a person or group has acquired 15% or more of LSC’s Common Stock (an “Acquiring Person”) or the date and time on which any Acquiring Person has acquired more than 40% of LSC’s Common Stock (in either case, the “Flip-in Date”) and (ii) the tenth business day, or such later date designated by the Board, after any person or group commences a tender offer that will result in such person or group owning 15% or more of LSC’s Common Stock, separate Rights certificates will be distributed. Upon the occurrence of the Flip-in Date, each Right (other than Rights beneficially owned by any Acquiring Person or transferees thereof, which are voided) will entitle its holder to purchase, for an exercise price of $1.50, a number of shares of LSC Common Stock having a market value of twice the exercise price. The Rights Agreement will expire on February 27, 2021.
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