EI invests in Ballroom

Ballroom operates on the internet advertising market, which is the most dynamically growing segment of the whole media industry, and the only one that grew steadily throughout the recent economic slowdown. The company has a strong presence in all key markets of the region. The combined CEE/SEE markets where Ballroom is present are forecast to grow dynamically at an average annual rate of 16% over the next few years (with growth in Romania and Turkey forecast to exceed even 30% annually). These markets exceeded €1 billion worth of total internet ad spending in 2010. They are inhabited by over 150 million people, of which only 50% have used internet so far (compared to over 70% in Western Europe), and the average spend per capita is just €6 annually (compared to €47 in Western Europe and €60 in Germany).

Ballroom International started operating in 2009. It is a holding company based in Munich with the ultimate strategy to build a unique position at the CEE/SEE level by consolidating all the important markets of internet ad sales house in the region under a unified umbrella. This will build the only player like this in the market, creating the first-choice option for large internationals wanting to enter this fast-growing region and the one-stop shopping partner for international advertisers and internet publishers aiming to build their presence here. Currently, through its subsidiaries in the Czech Republic, Romania, Poland, Hungary and Turkey it is the largest independent internet ad sales house in CEE and SEE. The Group has been growing dynamically over the last two years and forecasts to reach consolidated revenues of more than €25 million in 2011.

“We like Ballroom’s strategy to consolidate the relatively small, local markets of internet advertising in CEE and SEE under one unified brand. The founders managing Ballroom are very well established in the industry and are motivated to succeed as the strongest regional player here. EVF wants to support them in achieving this goal and I strongly believe that together we can do a lot more,” said Rafał Bator, a partner at Enterprise Investors, who heads the EVF team.

“Securing such an experienced and credible investor as Enterprise Investors’ venture fund is a good strategic move for Ballroom. The new capital from EVF will enable us to quickly expand further in the region as well as to offer advanced products to our clients. We have a mutual agreement with our new investor to list Ballroom on the main market of the Warsaw Stock Exchange in the future and we will work hard to accomplish this goal,” commented Alexander Sigl, Ballroom’s CEO.