Operators agree to buy United Group’s Serbian TV and telecoms assets in deals totalling $1.5bn

South-east Europe telecoms and media provider United Group has reached an agreement to sell Serbian pay TV, broadband internet and fixed telephone services provider SBB to e& PPF Telecom Group.

Victoriya Boklag

It will also offload its NetTV Plus business and sports broadcasting rights for the western Balkans to Serbian telecoms and cable TV operator Telekom Srbija.

The combined value of the deals is almost €1.5bn (US$1.56bn), with both expected to be completed in the first half of this year pending customary regulatory approvals.

A leading multi-play telecoms and media provider in the Balkans, United Group will retain its news and entertainment channels broadcast in Serbia, including networks N1 and Nova S, which will remain available on SBB’s fixed network.

E& PPF Telecom Group, a joint venture from the United Arab Emirates’ e& and Czech-based PPF, said it was buying Serbia Broadband for €825m cash- and debt-free as the main part of the transaction.

Telekom Srbija is paying €652m for Eon TV International, which operates in Serbia and North Macedonia, and a range of sports broadcasting rights for the western Balkans (Bosnia and Herzegovina, Montenegro, North Macedonia and Serbia).

United Group said the deals complete its strategic objective of exiting and monetising its non-EU telco assets, with no further sales planned in the immediate future.

Victoriya Boklag, CEO of United Group, said: “The divestments are in line with our strategy to sharpen our focus on the markets where we can provide the full spectrum of mobile and fixed telecommunication services to our customers, which will enable us to realise the greatest potential for growth and value creation.

“By streamlining our operations and refocusing on EU markets, we are enhancing our efficiency and positioning United Group for long-term success.”