BC Partners is facing mounting internal resistance at United Group, one of its flagship portfolio companies, as senior executives protest the ousting of the telecoms company’s founder and CEO by the London-based private equity firm, according to a report by The Financial Times.
Eight country-level chief executives from United Group’s operating subsidiaries – which collectively contribute approximately 90% of the group’s cash flow and 70% of EBITDA – have reportedly co-signed a letter to the board demanding the reinstatement of founder Dragan Šolak and former CEO Victoriya Boklag.
The letter, seen by Financial Times, criticises BC Partners for what executives described as a governance breakdown and a management overhaul that risks “long-term damage” to the pan-European telecoms and media group. The internal rift comes just weeks after the board removed Šolak and Boklag from their roles in June.
Šolak, who retains a minority stake in United Group and is also the owner of Southampton FC, has filed a lawsuit against BC Partners, alleging non-payment of a €200m bonus related to a previous asset sale. He has also petitioned Dutch regulators to investigate what he described as a “serious governance crisis.” A Dutch court has rejected his request for urgent consideration, though BC Partners has reportedly agreed to honour the bonus payment.
Despite his reduced role, Šolak maintains key control over United’s management incentive plan, a holdover from his position as founder that still allows him to award equity to senior leaders.
The growing internal dissent comes on top of a previous letter sent by 14 top executives, including United’s CFO and COO, who expressed “deep concerns” over the sudden leadership shake-up and said the move had already triggered key resignations. The executives characterised the board’s decision as “random” and “irresponsible,” warning it posed an “existential threat” to the business.
BC Partners has dismissed the concerns raised by current and former executives as “greatly exaggerated”.
United Group, founded in 2000 by Šolak in Serbia, has grown into a €2.7bn revenue platform and is one of the largest telecom and media companies in southeast Europe. BC Partners acquired a majority stake in the company in 2019, part of a broader strategy to build scale in the fragmented European telecoms market.
