Gentoo Media has secured a €50m (£42.7m) senior term loan from major shareholder Fundacja Zbigniewa Juroszka Fundacja Rodzinna (ZJF).
The Stockholm-listed affiliate’s board also plans a directed share issue to raise gross proceeds of €50m in Q4 2026, subject to necessary approvals.
Fellow shareholders MJ Foundation Fundacja Rodzinna (MJF) and Betplay Capital Fundacja Rodzinna, alongside ZJF, have committed to fully underwrite the issue at SEK6.16 (46p) per share, up to €50m.
This takes the company’s fundraising to a total of €100m, exceeding its outstanding €91.5m debt from senior secure bonds. Gentoo’s share price rose 24% to SEK4.82 after the announcement.
The firm noted the loan can be paid back at any time without penalty or premium, carries no equity component and gives the board “flexibility over time to consider returning capital to shareholders through dividends and share buybacks”.
The loan is set to mature on 18 December 2029, with “mandatory amortisation of €10m on each of the first and second anniversaries and the remaining €30m due at final maturity”.
A Gentoo Media statement read: “The board has, together with its advisers, evaluated refinancing alternatives ahead of the bonds’ maturity and has concluded that a combination of a new senior secured loan and a directed share issue represents the most certain and appropriate solution for refinancing the bonds in full and strengthening the company’s capital structure.
“The refinancing process has been led by an independent refinancing committee of the board, with directors affiliated with the lender taking no part in the board’s deliberations or resolutions on the financing.
“As the lender is a major shareholder of the company, affiliated with board members Mateusz Juroszek and Tomasz Juroszek, the loan constitutes a related party transaction.”
Gentoo Media also cut its 2026 financial guidance after Brazil announced a ban on online gambling.
Brazilian President Luiz Inácio Lula da Silva issued the provisional measure on 25 September. The measure will prohibit online sports betting and casino in the country from 6 October.
Gentoo now expects revenue of €92m, down from its previous range of €97m-€100m. EBITDA before special items is now forecast to come in at €40m, compared with €44m-€47m, and operating cash flow to land at €30m, down from €32m-€36m.
Regarding the revised guidance, Gentoo Media stated: “Brazil has been an investment market for Gentoo Media, with continued investment in customer acquisition and market presence to build the company’s long-term position.
“From January to August 2026, Brazil generated approximately €3.8m in net revenue for Gentoo Media. Given the continued investment in the market, Brazil’s contribution to EBITDA and cash generation have been proportionately lower than its contribution to revenue.
“The company had expected growth in the Brazilian market during Q4 2026, supported by the investments made throughout the year as well as expected positive seasonal trends in the market. The revised guidance assumes no further betting and online gaming revenue from Brazil for the remainder of 2026.”
Elsewhere, GiG Software has announced the completion of its acquisition of evoke-owned brand 888AFRICA.
The supplier reached an agreement to acquire 80% of the company in a €16.4m deal, with subsequent plans to establish a B2B arm on the continent.
The post Gentoo Media shares spike after €50m loan from major shareholder first appeared on EGR Intel.
Affiliate’s share price climbs 24% on the back of securing funds from Fundacja Zbigniewa Juroszka Fundacja Rodzinna, but firm cuts 2026 guidance in wake of Brazil ban
The post Gentoo Media shares spike after €50m loan from major shareholder first appeared on EGR Intel.