FreightCar America, Inc. announced the adoption of a limited duration stockholder rights plan to protect the best interests of all stockholders.
The plan aims to enable stockholders to realize long-term value and safeguard against potential efforts to obtain control of the company.
The Rights Plan will expire on August 5, 2026, unless terminated earlier by the Board.
Protection of Stockholder Value
The Rights Plan aims to ensure fair and equal treatment of all stockholders and prevent hostile takeovers.
Strategic Growth Focus
The company is focused on executing a strategic plan for substantial growth and value creation, leveraging its margin profile and market share.
Board Determination
The decision to adopt the Rights Plan followed a thorough analysis of the company's current position by the Board.
- The Rights Plan is designed to reduce the likelihood of any person or group gaining control of the company through tactics that may not be in the best interests of stockholders.
- It provides stockholders with the opportunity to purchase shares at a discounted rate in certain circumstances, enhancing shareholder rights.
FreightCar America's adoption of the Rights Plan demonstrates its commitment to protecting long-term stockholder value and promoting fair treatment across all shareholders. The company's strategic focus on growth and value creation is a key driver behind this decision.