Deal Tracker: $8.68B Yandex deal boosts European media, telecom M&A in February

The aggregate transaction value of deals in the European media and telecom sector got a boost in February, reaching $12.68 billion, compared to $4.21 billion in February 2023, according to S&P Global Market Intelligence data.

The number of transactions, however, fell to 60 from 73 transactions announced in February 2023.

The biggest M&A deal in February also emerged as the top European media and telecom deal so far this year, involving the proposed $8.68 billion sale of internet company Yandex LLC, the Russian unit of Dutch-incorporated Yandex NV, to a consortium. The consortium comprises Yandex LLC's senior management team members and entities owned by Russian oil company PJSC LUKOIL.

The sale will be implemented in two closings. The first closing, comprising the sale of about a 68% stake in Yandex LLC, is expected in the first half of the year. The second closing will see the purchaser pay for the remaining stake in Yandex LLC and is expected within seven weeks of the first closing.

In an investor presentation in February, Yandex NV said the recent geopolitical situation posed "unprecedented challenges" for the business, and has made it increasingly difficult for "foreign companies to manage operations in Russia."

The second-largest deal of the month was an investor group's planned $1.26 billion acquisition of a 19.9% stake in Swedish mobile network provider Tele2 AB from Kinnevik AB. The group includes French telco iliad SA and NJJ Holding SAS. Both companies will become reference shareholders of Tele2 following deal closure.

– Read how Europe's media and telecom M&A activity fared in the beginning of the year. – Use our Transactions Statistics page to run a custom screen of M&A by industry or geography.

TCMI Inc., EQT AB and EQT X's agreement to acquire a 71.92% stake in French music distribution and marketing firm Believe SA for $1.18 billion emerged as the third top transaction of the month under review.

Believe's board appointed Ledouble SA as an independent expert to create a report on the consortium's offer. Citigroup Global Markets Europe AG and Gide Loyrette Nouel are the financial and legal advisers, respectively.

Six transactions announced in February were among the top 10 deals announced in the sector year-to-date.

Two of the biggest deals in February came from the interactive media and services subsector, while two were from wireless telecommunication services. Movies and entertainment, alternative carriers and advertising had one deal each.