iGaming software provider Bragg Gaming Group aims to rapidly expand throughout the US and Canada in the year ahead, while continuing to strengthen its presence in the supplier’s core European market.
In a corporate update, Bragg said it would ramp up investment in its technology, regulatory and compliance, and business development teams to ensure it could tap into new US and Canadian revenue streams.
It aims to launch its B2B igaming technology platform and casino content aggregator in all territories that permits legal online gambling. It is in the process of applying for B2B supplier licenses in New York – where it will collaborate with Kambi to power betting at Seneca Gaming Corporation’s casinos – and New Jersey.
This will be accompanied by efforts to expand into Canada – where Bragg is based – following news that Ontario is preparing to liberalize its igaming market. This will be supported by the appointment of former Ontario Lottery and Gaing Corporation chair Paul Godfrey to its board.
Bragg’s growth strategy is predicated on filing for B2B supplier licenses in all other states where igaming is regulated, as well as in Canada once legislation permits.
The supplier explained that this expansion strategy had been facilitated by the business achieving a number of key strategic objectives.
It finalized its acquisition and the related earn-out of slot specialist Oryx Gaming outright in November last year. Bragg’s balance sheet has been strengthened by the full conversion of accelerated warrants to give it CAD$40.0m ($31.4m) of cash, while its board has been strengthened by the appointment of Godfrey and former SBTech CEO Richard Carter.
Its shares will also debut on the Toronto Stock Exchange later today (January 27), having previously traded on the Toronto Venture Exchange.
“Our successful achievement of the key objectives we set earlier in 2020 has allowed us to move ahead with our global plans more quickly than we’d anticipated,” said Adam Arviv, who was named Bragg CEO in December 2020.
“We’re now focused on growing in two vital areas – quickly building share in the surging US B2B gaming market, while also leveraging our significant success in European and Latin American markets by diversifying our offering in our key jurisdictions.”
This diversification in its key markets, namely Europe, means Bragg is in the process of applying for B2B certification in additional jurisdictions, including Great Britain.
Geographical expansion is to be accompanied by efforts to expand its product range, growing the sportsbook and lottery products it offers, as well as expanding into instant win games.
News of its plans were accompanied by a trading update, which revealed that full-year revenue for 2020 is expected to beat expectations. Earnings, meanwhile, is to fall at the higher end of its previously announced range.
For 2021, revenue expectations remain unchanged at CAD$73.5m, with adjusted earnings before interest, tax, depreciation and amortisation expected to reach CAD$6.4m. The supplier is to publish its full results for 2020 in March.