Seven and Nine targeted in campaign to stop gambling ads
14 Aug 2024
A new shareholder activism campaign has been launched that targets media companies Nine Entertainment and Seven West in an effort to stop them taking advertisements from gambling companies.
The Alliance for Gambling Reform has joined forces with activist share trading platform SIX to use investor power to stop gambling ads at Australia’s big media companies.
Rather than lobbying from the outside, the Alliance for Gambling Reform and SIX will aim to change Australia’s big media companies from the inside as shareholders. This includes plans to propose shareholder resolutions at the company AGMs of Nine Entertainment and Seven West Media this year.
Chief Advocate for the Alliance for Gambling Reform, Reverend Tim Costello, said “We can’t get gambling reform until we’re inside these companies”
“I’ve bought the minimum parcel of shares in these companies. If others do the same or use their existing shares in these companies to support this campaign, we can make this campaign a success. That’s how we get inside these companies and push for change.”
“The media companies are completely out of touch when it comes to gambling ads. 7 out of 10 Australians want gambling advertisements on TV to be banned. Australians lose $25 Billion each year to gambling, the highest per capita spend in the world.”
“It’s clear that these big media companies are not going to tackle the scourge of gambling ads until they are forced to. We’ve waited too long for governments to act, so now we’re using shareholder power to take action.”
Adam Verwey, CEO and co-founder of SIX, said “Time and again, Australia’s biggest companies have shown that they only care about one group of people, their shareholders. So, if we want to make change at some of Australia’s biggest companies, then we need to do it as owners of those companies.”
"This will challenge institutional investors and super funds to support a resolution that has such broad community support. Given the huge community cost of gambling, it’s hard to argue that banning gambling ads isn’t in the best financial interests of super fund members."
Shareholder resolutions at company AGMs are commonplace overseas but are rarely used in Australia due to our strict Corporations laws which require 100 shareholders to propose a resolution.
This will be the first time shareholders have mobilised to propose shareholder resolutions at Seven and Nine.
The proposed shareholder resolution demands the removal of all gambling advertisements from the company’s television, radio, streaming, digital and publishing platforms.
The campaign already has the support of the Reichstein Foundation and leading ethical investment firms Ethinvest and Future Group.
Ends
For further comment
Reverend Tim Costello, Chief Advocate for the Alliance for Gambling Reform
Martin Thomas, CEO of the Alliance for Gambling Reform
Adam Verwey, Cofounder and CEO of SIX
0400 290762
About SIX
SIX is Australia’s first fintech to combine activism with investing. SIX’s share trading platform makes it easy for ethical investors to build a portfolio of companies that match their values, and to easily participate in shareholder advocacy campaigns.
SIX has been designed to break down the barriers for investors, advocacy groups and other stakeholders from accessing shareholder rights that are commonplace overseas.
media@agr.org.au – 07 3180 0630