GeoPark’s Shareholder Plan Creates Opening to Thwart Hostile Bid

Latin American oil and gas producer GeoPark looks to be making moves to defend itself form a hostile takeover after a rival energy firm took a large stake in the company.

In a shareholder rights plan announced on Tuesday, Bogotá-based GeoPark adopted a mechanism for rights to become exercisable if an entity or person acquires ownership of 12% or more in the company. The move follows a recent SEC filing by Pampa Energy Inc., which reported a 10.17% holding in GeoPark.

Both companies declined to comment.

The new rights allow GeoPark shareholders to purchase additional stock at a 50% discount ...