In a series of high-volume open market transactions executed throughout May, prominent investor Kjerulf Ainsworth has successfully increased his ownership stake in land-based slot machine manufacturer Ainsworth Game Technology Ltd to 9.55%.
The aggressive buying activity positions his total holding close to the critical 10% threshold and follows a succession of prior purchasing rounds that had already elevated his financial interest above levels recorded in late April.
Navigating Failed Take Private Offers and AGM Friction
The significant equity update was formally publicized via a mandatory Wednesday corporate disclosure filed by the slot developer with the Australian Securities Exchange (ASX). At the close of April, Mr. Ainsworth controlled 8.35% of the company’s ordinary shares after completing a structured proportional offer targeting 5.5% of each individual shareholder’s ordinary holdings, marking the second proportional buyout offer he has initiated for the family-founded stock.
His subsequent May acquisitions were completed entirely via on-market trades executed at prices ranging from a baseline of AUD1.05 ($0.75) up to AUD1.60 per share, steadily expanding his capital weight in the gaming firm originally founded by his father, Len Ainsworth.
The localized equity accumulation materializes against a backdrop of long-running control friction with international majority shareholder Novomatic AG. The Austrian gaming manufacturing conglomerate owns more than 67% of Ainsworth Game Technology’s outstanding stock. In August 2025, Novomatic attempted to expand its absolute equity block to 75%, presenting an unconditional minority buyout offer fixed at AUD1.00 per share, aiming to completely privatize and delist the business from the ASX once the ownership threshold was satisfied.
The hostile privatization bid concluded unsuccessfully in February 2026 after failing to reach the target threshold. Mr. Ainsworth had vocally opposed the corporate offer to minority shareholders, arguing that the AUD1.00 price point materially undervalued the long-term asset base of the firm. His latest on-market purchase track functions as a direct defensive buffer following that failed consolidation campaign.
Shareholders Push Back on Governance Structures
Concurrently, the company’s Annual General Meeting (AGM) executed in late May generated notable governance friction. Shareholders voted decisively against the formal election of Lawrence Levy as a non-executive director, despite his nomination being explicitly backed by Mr. Ainsworth. Levy previously served as the Chief Executive Officer of the slot manufacturer.
Furthermore, the general assembly completely rejected two structural constitutional proposals tabled by Novomatic. These failed items included specialized amendments to the corporate constitution governing the formal disclosure of director interests, alongside a separate motion to renew proportional takeover provisions. The voting blocks demonstrate a clear willingness among minority retail investors to actively push back against several high-level governance and ownership modifications pushed by the Austrian parent firm.
The corporate friction lands as Ainsworth Game Technology navigates a challenging fiscal stretch, forecasting its first-half revenue at approximately AUD116 million, representing a steep 23.7% contraction compared to prior-year returns. Adjusted profit before tax, stripping out volatile currency fluctuations and one-off write-downs, is projected to land near AUD1 million, collapsing down from the AUD13.9 million generated during the previous reporting cycle.
