Bragg said that while the business has consistently exceeded revenue and growth targets over the past six quarters, its achievements have not been reflected in its public market performance. The board therefore determined that a search for a new CEO was required.
At the time of writing, Bragg’s share price sits at CAD$8.79, compared to its 52-week high of CAD$31.80.Paul Godfrey, who is also the former president and CEO of Postmedia Network, former publisher and CEO of Sun Media, and former president and CEO of the Toronto Blue Jays, has agreed to take on the role until a replacement is named.
Bragg founder and former interim CEO Adam Arviv will take on the role of special advisor to the chair and CEO, while founder of Bragg subsidiary Oryx and vice chair of Bragg’s Board of Directors, Matevž Mazij, will also play an integral role in the organisation.
“While the global online gaming industry continues to grow exponentially, the North American opportunity is a game changer,” Godfrey said.
“Bragg’s technology and content is well-positioned to take advantage of this new market’s potential and although Bragg’s operations have continued to outperform over recent quarters, the capital markets strategy has not translated into shareholder value. Developing this alignment will be our top priority and absolutely requires a strategic review.”