Raketech targets further M&A action with new €15m credit facility
The credit facility enables the online affiliate and content marketing provider, which last week purchased QM Media AB’s assets in a €16m deal, to continue to grow through acquisitions and can further be used for financing of working capital, other investments and other general corporate purposes.
Raketech said the facility will replace the existing credit facility of €10m with Swedbank, which was activated in late 2018.
Oskar Mühlbach, chief executive of Raketech, said: “We are delighted to enter into this new relationship with Avida Finans and take advantage of the strong debt markets to strengthen our financial flexibility.
“The new agreement offers beneficial terms and enables us to keep a high pace in our M&A activities to propel our group growth on strategically important markets.”
Raketech said the interest on the facility is 4.25% plus an annual commitment fee paid upfront. The credit facility includes an extension option and can thus be renewed annually from its first date of utilisation.
“Raketech will continue to evaluate further long-term financing opportunities, in line with its growth strategy and M&A agenda,” the business added.
Raketech’s revenue for the three months to 31 March 2021 amounted to €8.3m, up 26.6% from €6.5m in the corresponding quarter last year.
Raketech said this was driven by its acquisitions of igaming affiliate network Lead Republik in March last year, as well as US-facing affiliate website American Gambler in November. However, the affiliate said this was partially offset by a reduction in revenue following the disposal of the consumer finance assets to ROI Media UK in Q4 of 2020.