The unexpected change in ownership at Imlek, the Balkans’ largest dairy producer, marks one of the most influential corporate shifts in Serbia’s agribusiness sector in years. After nearly a decade under the control of the private-equity fund MidEuropa Partners, the company is now set to return to domestic ownership — a move that could redefine its strategic direction, reshape the regional dairy market, and open a new chapter for Serbia’s food-processing industry.
The transition, announced in late 2024, revealed that MidEuropa Partners will sell its entire stake to a domestic investment group led by AJFH, the holding company of Serbian entrepreneur Andrej Jovanović, with Imlek’s long-serving CEO Bojan Radun also joining as a significant co-owner. Although financial details of the transaction remain undisclosed, the acquisition is widely viewed as one of the most substantial takeovers in the nation’s food sector in recent memory. The deal is scheduled for completion in the first quarter of 2026, pending standard regulatory approvals.
What the sale means for Serbia, for Imlek’s suppliers, and for the broader regional dairy market is now the central question.
Why MidEuropa decided to sell
For MidEuropa Partners, one of Central and Eastern Europe’s most active private-equity funds, Imlek was the last major Serbian consumer-goods asset remaining in its portfolio. The fund initially entered the Serbian market through the acquisition of the Moji Brendovi group, which included iconic regional brands in beverages, dairy, and snacks. Over time, MidEuropa exited these businesses through high-profile sales such as Knjaz Miloš and Bambi.
The sale of Imlek, therefore, represents a clean strategic exit for the fund. With annual revenues of 32.8 billion dinars and net profit topping 1.5 billion dinars, Imlek was performing strongly, making this a favourable moment for MidEuropa to realise value and rebalance its investment portfolio. The company processed around 400 million litres of raw milk annually, partnering with more than 3,500 farmers across Serbia, Bosnia and Herzegovina, and North Macedonia — a footprint that made it one of the most stable assets in the region’s agrifood market.
For MidEuropa, the decision to sell appears driven by a combination of factors: successful consolidation of the business, attractive exit timing, and a regional market becoming more competitive and capital-heavy.
Who is buying — and why
The takeover is led by AJFH, the family investment vehicle of Andrej Jovanović, long considered one of the most accomplished entrepreneurs in the Serbian food and beverage industry. Jovanović co-founded Marbo Product (later acquired by PepsiCo) and was a key figure behind the growth of the Moji Brendovi portfolio. His reputation is built on transforming local brands into regional champions.
Joining him as co-owner is Bojan Radun, Imlek’s CEO since 2018, who previously held senior positions across major regional FMCG companies. Radun’s inclusion signals that the new ownership intends to maintain continuity while pushing for expansion and modernisation.
The motives behind the acquisition are both strategic and emotional. For Serbian investors, regaining domestic control over a company that is deeply embedded in the country’s agricultural and food sector carries symbolic weight. But it is also a calculated business move. Imlek’s established supply network, strong brand recognition, and regional production facilities make it a rare asset capable of generating stable cash flow while still offering clear growth potential.
Under Serbian ownership, Imlek may benefit from faster decision-making, deeper knowledge of local consumer trends, and potentially more agility in adapting to market shifts — advantages that private equity ownership does not always provide.
What this means for Imlek — gains and new perspectives
The change of ownership has significant implications for Imlek’s strategic future. The company sits at the centre of Serbia’s dairy industry, bridging thousands of farmers, several processing plants, and millions of consumers across the Western Balkans.
One of the most immediate opportunities lies in modernisation. Under private-equity ownership, investment is often carefully balanced with profitability targets. A domestic investor with long-term ambitions may choose a different approach, prioritising capital expenditure on technology upgrades, logistics improvements, energy efficiency, or advanced processing capabilities. In the context of an increasingly competitive regional dairy market, such upgrades could give Imlek a decisive advantage.
Another transformative possibility involves regional expansion. With plants already operating in Serbia, Bosnia and Herzegovina, and North Macedonia, Imlek has the platform to push into neighbouring EU markets. Strengthening exports, creating premium product lines, or expanding into functional and value-added dairy categories could boost profitability significantly.
The company may also pursue a more integrated supply-chain strategy, strengthening relationships with farmers through improved contract terms, support programs, and quality-focused partnerships. Such strategies could improve raw-milk stability, reduce volatility, and build goodwill among rural communities.
Finally, the new ownership structure opens the door to brand rejuvenation. Domestic investors who understand the cultural significance of Imlek — and the emotional connection consumers have with long-standing brands — are well-positioned to rethink product development, packaging, digital marketing, and brand storytelling.
Risks and market pressures ahead
Despite the promising outlook, the acquisition comes with real challenges. The dairy sector across Europe is under pressure from rising production costs, tightening environmental regulations, shifting consumer preferences, and competition from both imported dairy goods and plant-based alternatives.
Imlek’s new owners will need to navigate inflation, raw-material price swings, energy costs, and a consumer base that is becoming more price-sensitive. The balance between maintaining competitive retail prices and investing in higher-quality production will be delicate.
Additionally, competing in regional markets means dealing with currency risks, regulatory fragmentation, and logistical hurdles — factors that demand sophisticated management.
The undisclosed financial size of the acquisition leaves open questions about the degree of leverage used and the timeline needed for return on investment. If the deal is highly leveraged, the new owners will face pressure to boost efficiency quickly. If not, they may have more room for long-term strategy.
A symbol of a larger shift in Serbian industry
Beyond the corporate details, the Imlek acquisition symbolizes a broader pattern in the Western Balkans: the return of major domestic assets to local entrepreneurs after cycles of privatization and foreign investment.
This transition highlights growing confidence among Serbian investors, but it also reflects the maturing of the country’s capital markets and agrifood sector. The re-localisation of ownership may foster stronger alignment between national strategic interests and company priorities, particularly in sectors as vital as agriculture and food security.
Imlek’s new owners inherit a company with deep roots in the region — but also one facing a rapidly changing global dairy landscape.
Looking ahead
The story of Imlek’s ownership change is more than a financial transaction. It is a turning point that will influence farmers from Šumadija to Vlasina, consumers from Belgrade to Skopje, and an entire sector’s capacity to modernize.
As the deal awaits final regulatory approval and approaches its expected closing in early 2026, the central question is whether the new ownership can transform Imlek into a modern, innovative, regionally dominant food manufacturer — or whether the company will simply maintain its current trajectory.
The potential is immense, but so are the expectations. For Serbia’s dairy sector, this moment marks the beginning of a new chapter. Whether it becomes a success story will depend on how boldly — and how wisely — Imlek’s new owners shape the future.
