New Zealand coach Rob Walter said it was a massive blow to lose Bracewell.
“We’re all feeling for Michael,” said Walter.
“It’s really tough to get ruled out of a World Cup and I know how much playing for New Zealand means to him.
“Michael worked incredibly hard to give himself a chance but unfortunately has had this set back.
“We wish him a smooth recovery.”
New Zealand: Mitchell Santner (c), Finn Allen, Mark Chapman, Devon Conway, Jacob Duffy, Lockie Ferguson, Matt Henry, Kyle Jamieson, Daryl Mitchell, James Neesham, Glenn Phillips, Rachin Ravindra, Tim Seifert, Ish Sodhi. Reserves: Ben Sears, Cole McConchie