Bragg Gaming Finalizes Drayton Acquisition to Drive US Expansion

Bragg Gaming Group has completed its $9 million acquisition of Drayton International; a move aimed at bolstering its US footprint alongside a series of board-level changes.

The Toronto-headquartered company first announced the purchase of Drayton International in May and has now completed the deal for an aggregate consideration of $9 million, satisfied entirely through the issuance of 4.5 million new Bragg shares.

The newly issued shares are subject to a lock-up period of up to 24 months.

In a statement, Bragg CEO Matevz Mazij said that Drayton gives Bragg “direct, credible entry” into the US market as well as a diversified portfolio and distribution infrastructure. 

Beyond this transaction, our studios continue to expand the breadth of games and features across the platform, including the early application of AI-assisted development tools to help us bring new content to market faster. We see real long-term potential here, and we intend to be direct with shareholders and the market as that work matures.

Bragg CEO Matevz Mazij

The US remains a primary revenue growth driver for Bragg, alongside LatAm, where the company expanded following the opening of Brazil’s regulated iGaming market in January 2025. Bragg also maintains a strong presence across Europe and is set to make its Finnish debut with partner SuomiVeto when the market opens in 2027.

Board reshuffle

As it confirmed the completion of the deal, Bragg also announced the departure of CEO Matevz Mazij from the company’s board. Mazij offered his resignation from the board in June after a majority of shareholders voted against his re-election.

Bragg’s share price had collapsed by around 60% in the three years Mazij served on the board. In announcing that the board had accepted his resignation, it also confirmed that Mazij would remain the company’s CEO.

The company also announced the appointment of Matt Davey as non-executive chairman of the board of directors. Davey, an experienced iGaming entrepreneur, is the founder and chairman of gaming-focused investment fund Tekkorp Capital, which holds around 10% of Bragg shares.

Bragg flagged Davey’s track record across gaming M&A and particular experience in US sports betting and online gaming as the reason behind his appointment.

“Matt is highly respected throughout our industry and brings deep strategic, operational and governance experience,” said Holly Gagnon, chair of the board.

“His track record speaks for itself, but what stands out to me is that he’s not just advising Bragg, he’s now genuinely invested in where we go next. As we enter this next phase following the transaction, we’re glad to have that experience and perspective on the board as we focus on execution and long-term value for shareholders,” she added.

As part of the board reshuffle, Davey will assume Gagnon’s position as chair of the board, with Gagnon continuing to serve as a director.

Year of upheaval

Bragg shares, which trade on both the Toronto Stock Exchange and Nasdaq, were up 9% following the Drayton International and Davey announcements but are still down around 20% since the start of the year.

At a wider level Bragg shares have dropped by more than 75% of their value over the last five years.

The company has announced two major workforce reductions in 2026. Earlier this month, it confirmed a 19% reduction in staff in a move expected to save it $6.5 million in incremental annualized cost savings. This followed a 12% cut to the workforce in January, as part of a strategic restructuring.

After the second announcement, Mazij said the cuts were part of Bragg’s AI-first transformation goals for 2027, with the aim of automating up to three-quarters of Bragg’s internal operations workflows.

“By combining a more focused organization with the acceleration of our AI-First transformation, we are structurally improving our costs while continuing to protect the technology,” Mazij said in a statement.

The company has also been rocked by the loss in May of the firm’s largest anchor client, Entain’s BetCity, and a creative drain arising from the loss of core development talent and key members of the leadership team behind Wild Streak Gaming, Bragg’s premium, Las Vegas-based slot studio.