Dragan Šolak, the founder and minority shareholder of United Group, and former CEO Victoriya Boklag have initiated legal proceedings in London against three entities controlled by BC Partners. The move aims to halt the sale of United Group’s media business, which they say is being carried out in violation of the Shareholders’ Agreement, according to a statement released on Tuesday, N1 reports.

It said that the legal remedy sought by Šolak and Boklag includes a ruling that the sale of United Media constitutes a material change in the nature of the business of United Group, as well as an injunction to prevent any such sale from proceeding without their consent.

“The Shareholders’ Agreement grants Šolak and Boklag contractual consent rights over any fundamental change in the nature of United Group’s business. Despite this, BC Partners initiated the sale of United Media, which encompasses the entire media segment, without their knowledge, authorization, or consent,” the statement said.

It further noted that the sale would fundamentally transform United Group from an integrated media and telecommunications leader into a predominantly telecommunications-only company, thereby destroying the unique value of the integrated service offering across Southeast Europe.

“The initial sale involves Adria News Network and its assets in Serbia, Slovenia, Bosnia and Herzegovina, Croatia, and Montenegro, as well as Nova BH and Nova Montenegro. Crucially, this includes N1, Nova, Radar, and Danas - some of the last remaining editorially independent media outlets in Serbia,” the statement added.

Šolak and Boklag also expressed serious concern regarding the manner in which the sale is being conducted, as well as regarding the “publicly known track record of the proposed buyer regarding cooperation and the acceptance of investment from certain states, its ties to Serbian authorities, and the potential consequences for media freedom in the region.”

The statement noted that under the leadership of Šolak and Boklag, the editorial independence of United Media outlets was guaranteed, and that it is precisely because of that independence that a large number of viewers, readers, and journalists have placed their trust in the important work these media outlets perform.

“Last week, public comments and concerns emerged regarding potential changes to the editorial approach of N1 Serbia. Some viewers and media experts have already pointed to shifts in the tone and content of the station’s reporting... Media freedoms in Serbia and across the region are far too important to be treated as a bargaining chip in a private equity fund’s exit process,” the statement said.

United Group founder Dragan Šolak said he was deeply concerned by reports that BC Partners intends to sell the last remaining editorially independent media in Serbia to Alpac Capital.

“The sale of United Media would dismantle an integrated telecom-media model built over many years and hand some of the last remaining independent media in Serbia to a buyer with a troubling track record regarding media freedom. I was not informed of the sale of United Media, nor the deal with Alpac. At no point did BC Partners seek or get my consent. I will take all necessary steps, including legal action, to ensure that my rights under the Shareholders’ Agreement are fully respected and enforced,” Šolak said.