Germany’s SGB-SMIT Group has agreed to acquire a majority stake in COMEL Transformatori, bringing a profitable Serbian electrical-engineering company into an international transformer group at a time of rising European demand for grid equipment.
Completion is expected during the second half of 2026, subject to regulatory approval. Neither the size of the acquired stake nor the transaction value has been disclosed.
COMEL generated approximately 2.5 billion dinars, or around €21 million, of revenue in 2025, compared with 2 billion dinars a year earlier. Net profit almost doubled from 111 million dinars to 218 million dinars, giving the company a net margin of approximately 8.7 per cent.
The Serbian company repairs and overhauls power transformers rated up to 420 kV and manufactures oil-filled transformers for distribution and transmission applications up to 220 kV. These capabilities place it directly inside the supply chain for transmission-system modernisation, renewable-energy connections and the refurbishment of ageing utility assets.
Transformer availability has become a material constraint for electricity infrastructure across Europe. Utilities, industrial consumers and renewable developers are facing extended procurement schedules, rising material costs and limited specialist manufacturing capacity. Delays in transformer delivery can postpone energisation even after the main civil and generation works are substantially complete.
COMEL gives SGB-SMIT a production and service base close to Serbia, Montenegro, Bosnia and Herzegovina, North Macedonia, Romania, Bulgaria and other SEE markets. The location can support regional maintenance and reduce transport and response times for heavy equipment, particularly where ageing networks require refurbishment rather than complete replacement.
The acquisition also coincides with Serbia’s expanding renewable and transmission-investment requirements. Connection applications cover approximately 12 GW at transmission level and 6 GW on distribution networks. Even though only part of this pipeline will be built, the queue points to sustained demand for transformers, substations, protection systems and associated engineering services.
The transaction’s long-term value for Serbia will depend on the industrial mandate assigned to COMEL. Expansion of manufacturing, engineering employment and exports would strengthen the country’s role in the European grid-equipment supply chain. A strategy focused mainly on regional servicing would produce a narrower economic effect.
COMEL’s recent profitability provides a credible base for investment. SGB-SMIT can add procurement scale, international market access, product standardisation and a wider customer network, while the Serbian operation offers established technical capability and a comparatively competitive manufacturing location.
The acquisition demonstrates that Serbia’s industrial M&A market is moving beyond labour-cost arbitrage. Electrical equipment, grid services and specialised engineering are becoming strategic assets as Europe increases expenditure on transmission capacity, renewable integration and energy security.
