A Hostile Bid is when the company targeting NOT proceeds without the consent of the board.   In contrast if the bid is declared SUPERIOR the BOD is in effect accepted the bid and there is no need for a hostile takeover.

What can happen is that Wyloo could make a higher $ offer than BHP  but the offer is declared inferior for some reason (risk around the company's stock proposal, ability to work with FN etc).  At that point Wyloo could go hostile if they want.

A poison pill/rights plan defines when a posion pill takes effect when the terms are triggered.  In Wyloo's case the posion pill is triggered if they acquire ownership or control of  1% more shares.  See next paragraph.

"a Person (a "Grandfathered Person") who is the Beneficial Owner of 20% or more of the outstanding Common Shares determined as at the Record Time, provided, however, that this exception shall not be, and shall cease to be, applicable to a Grandfathered Person in the event that such Grandfathered Person shall, after the Record Time, become the Beneficial Owner of any additional Common Shares that increases its Beneficial Ownership of Common Shares by more than an additional 1% of the number of Common Shares outstanding as of the Record Time, other than pursuant to one or any combination of a Common Share Reduction, a Permitted Bid Acquisition, an Exempt Acquisition, a Pro Rata Acquisition or a Convertible Security Acquisition;'

If Wyloo goes negative the BOD can trigger the plan and all shareholders other than Wyloo gets the right to purchase One additional share at 50% of the current price for every share they currently own.   

That means you as a shareholder need to come up with the money to buy the discounted shares and the market price of the shares usually drop by a corresponding amount due to massive dilution and recalculation of any offers.  The cash from the purchases goes into NOTs treasury.  It also means that Wyloo's ~38% ownership now becomes ~19% and it will be harder for them to get to 51% ownership.

In reality posion pills are almost always challenged in court so they are more of a threat to buy some time for the target to find another bidder.  So in our case we are already past that point.  It's almost guaranteed that the courts would overturn the posion pill if challenged.  Whoever offers the most value to the shareholders is going to get NOT.

... Been There