MidEuropa has successfully sold its investment in the SBB/Telemach Group to KKR, marking the largest private equity exit in the former Yugoslavia and yielding impressive returns.

Information on the Target

MidEuropa, a leading private equity firm in Central and Eastern Europe and Turkey, has successfully completed the divestiture of its investment in the SBB/Telemach Group, a preeminent player in the Serbian pay television market. This strategic sale, involving funds associated with Kohlberg Kravis Roberts & Co. LP (KKR), was finalized with the announcement made on October 15, 2013, subject to customary regulatory approvals.

The deal yielded a remarkable return on investment, achieving 3.5x multiple on MidEuropa’s original investment in SBB, along with an impressive 2.5x on its additional investment in Telemach. This transaction not only reflects the operational success of the SBB/Telemach Group but also signifies the largest private equity exit recorded in the former Yugoslavia region.

Industry Overview in Serbia

The telecommunications and media industry in Serbia has witnessed significant transformation over the past decade, driven by advancements in technology and changing consumer preferences. With the rise o