Private equity firm Aton Capital Partners and Media-One Holdings’ founder Ivan Tavrin have invested a total of $30 million in NetByNet, a broadband telecom operator in Moscow and the Moscow region, reported newspaper Kommersant. Aton Capital and Ivan Tavrin invested $20 million and $10 million, respectively, in NetByNet that was valued at $120 million, the newspaper said. The deal is one of the largest Russian private equity and venture capital investments in 2009.
Founded in 2006, NetByNet is one of the Russian broadband market consolidation plays. It reported 200,000 residential subscribers and 5,500 corporate customers at the end of 2008. NetByNet holds about 8 percent of Russian broadband internet access market valued at 2.7 million residential subscribers.
The company implements both organic and acquisition growth strategy. Prior to the investment, NetByNet was owned by Fairlie Holding & Finance, Gazprombank and the management. NetByNet previously raised $25 million from Gazprombank in 2007.
Aton Capital Partners, direct investments division of Aton Capital Group, is headed by CEO Dmitry Bosky.