Bragg Announces Staff Reduction as Part of ‘Strategic Restructuring’
As part of a "strategic restructuring" aimed at accelerating the time to net profitability, Toronto-based Bragg Gaming Group stated that it is laying off employees.
In a statement, Bragg said it will cut about 12% of its workers worldwide. In the first quarter of 2026, the corporation will pay about £1 million (US$1.16 million) in employee termination expenses. According to Bragg, the staff cutbacks will result in annualized financial savings of about EU4.5 million (US$5.2 million).
Diminished Worldwide Workforce
As we recently discussed, Bragg is pursuing an AI-first operational transformation, which is the rationale for this strategic change.
The company stated that it wants to better position itself to take advantage of opportunities associated with the emergence of prediction markets while preparing for industry consolidation in global marketplaces and additional market regulation.
Emerging Market Opportunities
“Given the increasingly complex regulatory compliance requirements, recent tax headwinds across key regions, emerging market opportunities, consolidation in the market, and our increased focus on short-term profitability, we needed to take this step now of restructuring the company’s staffing,” said Bragg CEO Matevz Mazij.
"After securing key hires in 2024 and 2025, we believe aggressive operating expense reductions and organizational realignment are the final steps to maintain our cash runway, drive EBITDA growth and achieve cash profitability,” Mazij said.
The corporation further stated that expected operational cost savings related to AI implementation are not taken into account in the financial calculations regarding the impact of the staff cutbacks. Becoming "AI-First" by 2027 is at the heart of the company's strategic transformation.
For now, the Entain Agreement has been extended
Bragg said on Friday that it has extended its Player Account Management (PAM) contract for BetCity.nl, the Dutch market operator, with Entain Plc, the global sports betting and gaming firm.
BetCity.Through May 31, 2026, nl will keep using the PAM platform, which includes sports betting goods and online casino content in the Netherlands. The companies will endeavor to extend the deal beyond that date, according to Bragg. However, there is "no assurance" that any such new agreements will be completed after that date.
“After the acquisition (BetCity.nl by Bragg in 2023), we agreed to work with the BetCity.nl team on a potential migration of the brand to Entain’s proprietary platform,” said Mazij. “The latest PAM extension agreement is intended to support that, and while it is premature to predict what our partnership with BetCity.nl and Entain will look like over the longer term, we are pleased to report that we expect this to materially contribute to reported revenues as regular services and migration services are delivered over the next few months.”
