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Company XYZ has a poison pill that gives each shareholder the right to purchase one additional share of stock at a 75% discount. If a

Company XYZ has a poison pill that gives each shareholder the right to purchase one additional share of stock at a 75% discount. If a hostile bidder purchases 20% or more of Company XYZ's shares, the pill will be triggered. Company XYZ has 20 million acquisition shares outstanding and a market price of $25 per share. Suppose a hostile bidder acquires 25% of the outstanding shares in the open market at $25 per share. If the poison pill is triggered, what would be the new price per share?

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