Aristocrat Leisure is an Aussie gambling machine manufacturer - and it's one of the largest manufacturers of slot machines in the world.
Background: Aristocrat Leisure is an Aussie gambling machine manufacturer - and it's one of the largest manufacturers of slot machines in the world.
What happened: Last year, Aristocrat revealed plans to buy gaming software company, Playtech. This crew provide the software for online casinos (amongst other things).
What else: Turns out that pipe dream is dead. Playtech shareholders formed a bloc and rejected the deal, and Aristocrat shares tanked on the news.
💡When you become a shareholder in a company, you not only gain access to potential dividends - and potential capital appreciation - but you also gain access to voting rights.
💡These voting rights can be used to vote for or against company actions. Now, as one singular shareholder, you may not have the power to influence decisions. But a collective of shareholders certainly can.
💡This collective is called a bloc, and it can bring about huge company changes, like firing a board member...or blocking a merger or acquisition like this.
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