Bragg Gaming Finalises Drayton International Takeover, Announces Board Shake-Up

Acquisition Details

Bragg Gaming Group has formally closed its acquisition of Drayton International, paying US$9 million entirely through the issuance of 4.5 million common shares. Former Drayton shareholders who received these consideration shares are locked up for up to 24 months, with 25% released at the 12-, 15-, 18- and 24-month marks after closing.

US Market Expansion

The deal positions Bragg to deepen its foothold in regulated US sports betting and horse racing markets. Drayton brings equity stakes in multiple licensed gaming studios, which will feed proprietary content into Bragg’s Hub and PAM platform. Importantly, Drayton’s Advance Deposit Wagering (ADW) capabilities give Bragg a direct entry into the fast-growing US horse racing wagering segment, where bettors pre-fund accounts to place wagers.

Bragg CEO Matevz Mazij noted that the acquisition “gives Bragg a direct, credible entry into the U.S. Advance Deposit Wagering market, a diversified portfolio of studio equity interests and proprietary distribution infrastructure.” He added that the company is already applying AI-assisted development tools to speed content creation, saying, “We see real long-term potential here, and we intend to be direct with shareholders and the market as that work matures.”

Private Placement Conversion

With the transaction closed, the escrow conditions for Bragg’s non-brokered private placement have been satisfied. All 751,445 subscription receipts, priced at US$1.73 each, have automatically converted into an equal number of common shares and non-transferable warrants. Each warrant carries a US$2.16 exercise price over 36 months. The securities remain subject to a four-month hold period in Canada and are restricted under US securities laws; subscribers also agreed to a four-month lock-up from the closing date.

Board Restructuring

Matt Davey, founder and chairman of gaming investment fund Tekkorp Capital, has been appointed non-executive chairman of Bragg’s board, effective at closing. Davey, through Tekkorp, now holds roughly 10.09% of Bragg’s outstanding common shares. His appointment arrives as Bragg expands in US sports betting and horse racing via the Drayton deal.

Former chair Holly Gagnon, who becomes a continuing director, praised Davey: “Matt is highly respected throughout our industry and brings deep strategic, operational and governance experience. … What stands out to me is that he’s not just advising Bragg, he’s now genuinely invested in where we go next.” Gagnon herself was recently inducted into the American Gaming Association’s Gaming Hall of Fame Class of 2026, to be formally honoured at G2E in Las Vegas.

Davey said: “Bragg has built the foundations needed for a powerful platform and distribution business: real content, real technology, and real licences in highly regulated markets. The next chapter is about disciplined execution — focus, balance sheet strength, operating cash flow, and revenue growth driven by letting the product do the talking.”

Separately, CEO Matevz Mazij has resigned from the board, effective July 22, 2026, after failing to receive a majority of votes for his re-election at the June 18 annual meeting. He will continue to serve as Bragg’s chief executive officer. The board also secured lender consent from Bank of Montreal and renewed its existing credit facility for another year on unchanged terms.