Proceeds of warrants contribute to balance sheet, providing increased liquidity and flexibility for future growth
TORONTO, Feb. 23, 2021 (GLOBE NEWSWIRE) — B2B gaming technology provider Bragg Gaming Group (TSX:BRAG, OTC: BRGGF) (“Bragg” or the “Company“) announced today that the common share purchase warrants of the Company issued on November 18, 2020 (the “Warrants”) have now expired, as of February 22, 2021.
“Bragg’s sustained performance allowed us to exercise our option to accelerate the November warrants,” said Adam Arviv, CEO of Bragg Gaming. “Not only is this an excellent indication of the continued confidence of our investors, but it immediately contributed to the balance sheet, providing increased liquidity and flexibility for future growth. The Company is now in a position of more than $40M in cash and no debt, with a positive cash flow.”
The terms of the warrant indenture dated November 18, 2020 (the “Warrant Indenture”) allowed Bragg to accelerate the expiry date of the warrants in the event the daily volume weighted average trading price of the common shares of the Company (“Common Shares“) on the TSX Venture Exchange exceeded $1.50 for at least 10 consecutive trading days (the “Trigger Event”) by providing written notice to the warrant holders (the “Acceleration Notice“). The Warrants, unless exercised, expired on the 30th day after the Company provided the Acceleration Notice (the “Accelerated Expiry Date“).
As of the close of markets on January 19, 2021, the volume weighted average trading price of the Common Shares had traded in excess of $1.50 for at least 10 consecutive trading days. Accordingly, Bragg gave notice to all registered warrant holders that the expiry date for the Warrants was accelerated to February 22, 2021.
About Bragg Gaming Group
Bragg Gaming Group (TSX:BRAG, OTC: BRGGF) is a global B2B gaming technology platform provider. With operations across Europe and North America, Bragg is expanding into an international force within the burgeoning global online gaming market. Bragg’s main brand is ORYX Gaming, an innovative business-to-business iGaming platform, casino content aggregator, managed sportsbook and managed services provider, offering cutting-edge content from leading studios.
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Yaniv Spielberg, CSO, Bragg Gaming Group
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Cautionary Statement Regarding Forward-Looking Information
This news release may contain forward-looking statements or “forward-looking information” within the meaning of applicable Canadian securities laws (“forward-looking statements”). Often, but not always, forward-looking statements can be identified by the use of words such as “plans”, “expects” or “does not expect”, “is expected”, “budget”, “scheduled”, “estimates”, “forecasts”, “intends”, “anticipates” or “does not anticipate”, or “believes”, or describes a “goal”, or variation of such words and phrases or state that certain actions, events or results “may”, “could”, “would”, “might” or “will” be taken, occur or be achieved.
All forward-looking statements reflect the Company’s beliefs and assumptions based on information available at the time the statements were made. Actual results or events may differ from those predicted in these forward-looking statements. All of the Company’s forward-looking statements are qualified by the assumptions that are stated or inherent in such forward-looking statements, including the assumptions listed below. Although the Company believes that these assumptions are reasonable, this list is not exhaustive of factors that may affect any of the forward-looking statements. The key assumptions that have been made in connection with the forward-looking statements include the following: the impact of COVID-19 on the business of Bragg; the countercyclical growth of the business of Bragg; the regulatory regime governing the business of Bragg; the operations of the Company; the products and services of the Company; Bragg’s customers; acquisition opportunities; the growth of Bragg’s business, which may not be achieved or realized within the time frames stated or at all; and the anticipated size and/or revenue associated with the gaming market globally.
Forward-looking statements involve known and unknown risks, future events, conditions, uncertainties and other factors that may cause actual results, performance or achievements to be materially different from any future results, prediction, projection, forecast, performance or achievements expressed or implied by the forward-looking statements. Such factors include, among others, the following: risks associated with general economic conditions; adverse industry events; future legislative and regulatory developments; the inability to access sufficient capital from internal and external sources; the inability to access sufficient capital on favorable terms; realization of growth estimates, income tax and regulatory matters; the ability of Bragg to implement its business strategies; competition; economic and financial conditions, including volatility in interest and exchange rates, commodity and equity prices; the estimated size of the gaming market globally; changes in customer demand; disruptions to our technology network including computer systems and software; natural events such as severe weather, fires, floods and earthquakes; and risks related to health pandemics and the outbreak of communicable diseases, such as the current outbreak of COVID-19.
Although the Company has attempted to identify important factors that could cause actual actions, events or results to differ materially from those described in forward-looking statements, there may be other factors that cause actions, events or results not to be as anticipated, estimated or intended. There can be no assurance that forward-looking statements will prove to be accurate, as actual results and future events could differ materially from those anticipated in such statements. Accordingly, readers should not place undue reliance on forward-looking statements.
The Company disclaims any intention or obligation to update or revise any forward-looking statements whether as a result of new information, future events, or otherwise, except in accordance with applicable securities laws.
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