PointsBet Takeover Vote Fails After Miscount
PointsBet has announced that a shareholder vote on a $402 million takeover offer from Japanese company MIXI failed after a miscount. The error, caused by share registry operator Computershare, excluded votes from rival bidder Betr. The miscount triggered a wave of reactions and set the scene for a new off‑market bid.
Miscount Discovered After Vote
PointsBet announced that its shareholder vote to approve MIXI’s $402 million takeover offer failed to reach the required 75% threshold. The initial results claimed 95.69% support. However, after a review, the actual figure was confirmed to be 70.48%. The error occurred when Computershare failed to include votes from Betr, a rival bidder holding a 19.9% stake.
Shortly after the error came to light, MIXI announced an off‑market bid for PointsBet. The new offer, priced at $1.20 per share, came with a lower 50.1% acceptance condition compared with the 75% required in the original scheme. The PointsBet board quickly confirmed its unanimous recommendation for the new proposal.
Market Reaction
The confusion impacted both PointsBet and Betr’s share prices. PointsBet’s stock fell 1.3% to $1.18, while Betr dropped 3.6% to $0.26. Investors responded to the uncertainty surrounding the transaction and its contested results.
Betr argued that PointsBet acted prematurely when it announced the initial results. The company said that its votes had been wrongly excluded and stated that PointsBet should have confirmed the outcome before making any announcements. In a statement, Betr said it was “concerned that the PointsBet board is seeking to transfer control to MIXI without allowing a genuine contest to take place and that this may not result in an optimal outcome for PointsBet shareholders.” It also criticized the error as “unprofessional and irresponsible,” suggesting a failure of governance rather than a simple error.
Ongoing Competition for Control
Betr confirmed it is still pursuing its own bid for PointsBet and intends to release further details soon. Meanwhile, MIXI emphasized the strength of its offer, stating, “MIXI Australia is encouraged by the fact over 95% of votes cast by PointsBet shareholders (excluding Betr) were in favour of the scheme, demonstrating positive support of MIXI’s proposal to offer superior and more certain all‑cash value.”
With the initial vote failed and a new offer on the table, the future of PointsBet now rests on negotiations between its largest shareholders and competing bidders. The process highlights the importance of accurate vote counts and corporate transparency when determining the outcome of major transactions.