Bragg Applauds Successful House of Commons Vote on Bill C-218 to Legalize Single-Event Sports Betting

Rhea-AI Summary

Bragg Gaming Group (OTC: BRGGF) expressed support for Bill C-218, recently passed in the Canadian House of Commons, which legalizes single-event sports betting. CEO Adam Arviv highlighted the bill's potential to redirect profits from an estimated $14 billion in illegal betting to the regulated market, enhancing the Canadian economy. The bill now moves to the Senate for further approval, aiming for completion by May 2021. This change is crucial for Bragg and its partners, enabling them to better compete with U.S. and international operators.

Positive

• Legalization of single-event sports betting could redirect $14 billion from the black market to the regulated gaming market.
• Bragg Gaming stands to gain from increased competitiveness against U.S. and international gaming operators.

Negative

• None.

B2B gaming technology provider Bragg Gaming Group (TSX:BRAG, OTC: BRGGF) ("Bragg" or the "Company") provided comment this morning on the passing of Bill C-218 yesterday in the Canadian House of Commons.

“We’re very supportive of the move toward the legalization of single-event sports betting,” said Adam Arviv, CEO of Bragg Gaming. “Canadians have demonstrated overwhelming support for this update to the federal legislation and this was reflected in the strong cross-party backing for the bill. It’s a strong step forward for the Canadian legal gambling market and a win for the Canadian economy. Progressing this bill to the Senate brings us a step closer to ensuring that the profits from Canadian gaming remain in the community, rather than leaking into illegal black-market channels.”

The passing of Bill C-218 will decriminalize placing a bet on the outcome of a single game or match. Canadians are currently only permitted to place bets on a series of sports events, a form of parlay betting. Supporters of the legislative update advise that the update will shift profits away from the currently estimated $14 billion in black-market bets and into the regulated Canadian gambling market.

The Bill will now be sent to the Senate for reading and adoption, and then to the Governor-General for Royal Assent. Final approval could occur as soon as May 2021.

Bragg stand alongside Canadian casinos and other online gaming operators who have expressed support as the current restrictions make it harder to compete with their U.S. and international counterparts. Bragg also looks forward to and supports similar legislative updates at the provincial level, driven by the need to increase tourism and jobs, once the federal bill and Criminal Code amendment has passed. While the provinces control gambling operations in the current regulatory landscape, their operations are restricted to “parlay bets” – a lower-odds bet where individuals must choose the winning team in multiple games to win – rather than permitting single-event bets legally.

About Bragg Gaming Group

Bragg Gaming Group (TSX:BRAG, OTC: BRGGF) is a global B2B gaming technology provider. Since its inception in 2012, Bragg has developed, produced, marketed and licensed fully integrated solutions to more than 125 gaming and casino operators worldwide.

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.

Neither TSX nor its Regulation Services Provider (as that term is defined in the policies of the TSX) accepts responsibility for the adequacy or accuracy of this news release.

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FAQ

What is the significance of Bill C-218 for Bragg Gaming Group (BRGGF)?

Bill C-218 legalizes single-event sports betting in Canada, which could redirect significant profits from illegal to regulated markets, benefitting Bragg Gaming Group.

When is the final approval for Bill C-218 expected?

Final approval for Bill C-218 could occur as soon as May 2021 after passing through the Senate.

How does Bill C-218 impact the Canadian gaming market?

The passing of Bill C-218 is expected to enhance the Canadian gaming market by allowing single-event betting, creating a safer and more profitable environment than the current illegal betting landscape.