Implications of Poison Pill Strategy on Shareholder Rights

In the context of corporate governance, shareholder rights are fundamental to ensuring that the interests of shareholders are protected and that they have a voice in corporate decision-making. Consider the following scenario:

A publicly traded company, XYZ Corp, seeks to implement a poison pill strategy in response to a hostile takeover attempt. This strategy involves issuing new shares that would dilute the ownership percentage of any existing shareholder attempting to acquire a significant stake in the company without the board's approval.

Which of the following statements best reflects the implications of this strategy on shareholder rights?