Raketech agrees to settle Casumba earnout for €8.2m, not €20.3m

Raketech has cut a debt of about $23m to the sellers of Casumba Media to €8.2m ($9.2m), settling the earnout (deferred acquisition payments) in full. The Malta-registered affiliate announced the agreement on 19 October 2026. It has signed a sanction letter, a bank’s approval of a loan, with Bank of Valletta for €5.5m of the money, and will add €2.7m of its own cash.

Raketech bought Casumba in August 2019. In May 2025 it agreed with the sellers to push the remaining earnout payments from September 2026 to March 2028, with interest, all in cash. The liability stood at €21.3m on its balance sheet on 30 June 2026. The company has since paid €1.3m, and interest has kept accruing.

By the numbers

• Settlement: against about €20.3m payable under current terms including interest, a reduction of about €12.1m.
• Payment: €3.0m from existing cash within two business days of signing, then €5.2m paid by the bank directly to the sellers when the loan is drawn.
• Financing: a €3.5m three-year term loan plus €2.0m drawn from an existing revolving credit facility, both at 6.65% a year.
• Debt after completion: about €8.5m of Bank of Valletta loans, repaid over three years. Raketech says net interest-bearing debt falls by about €12m.
• Interest: the notional interest on the earnout, €0.9m in the first half of 2026, stops. Bank interest is about €0.4m in the first year.

The details

The settlement depends on the bank releasing the loan. If it has not done so by 31 December 2026, quarterly payments under the old terms resume, and any paid are deducted from the second instalment. If the loan is not released by 31 March 2027, or the financing is cancelled, each seller may end the agreement for its share and return to the old terms. One seller doing so does not affect the others.

The bank holds a pledge over the deferred consideration from Raketech’s September 2025 sale of the Casumba assets. That sale was for a fixed €12.0m, payable monthly through December 2029 at 8% interest. About €11m plus interest is still outstanding, and the settlement does not affect it. The loan also carries a debt service coverage ratio covenant of at least 1.1 times, and future share buybacks need the bank’s approval.

Magnus Alebo, a Raketech board member, is a beneficial owner of one of the sellers. He took no part in the board’s discussion or decision, which the other directors approved.

Raketech expects a significant non-recurring, non-cash gain in the fourth quarter of 2026, recognised below operating profit, with no effect on EBITDA.

What’s next

The company is awaiting completion of the bank’s disbursement process. It says the money still to be received from the sales of the Casumba and US assets, if paid in full, would cover the bank debt. The announcement does not say who bought the assets.