Private equity investors GMT Communications Partners and Veronis Suhler Stevenson (VSS) have sold German cable network operator Pepcom to UK-based investor Star Capital Partners for an undisclosed sum. Pepcom is Germany’s sixth-largest cable network operator, with more than 630,000 subscribers of video, broadband and voice services. Both GMT and VSS were the control investors in Pepcom, holding equal stakes in the company amounting to an 81 percent interest, with the remaining 19 percent in the hands of Pepcom’s senior management and other individual shareholders. Under the terms of the agreement, senior management will roll-over a substantial part of their proceeds into the new investment vehicle controlled by Star. Set up as a platform investment designed to consolidate the fragmented German cable TV market, VSS and GMT built Pepcom through organic growth and the completion of 12 bolt-on acquisitions, targeting fully integrated regional networks in small towns where a strong market position existed. These included the 2005 purchase of Bavarian cable network operator Kabelfernsehen München ServiCenter (KMS), which more than doubled Pepcom’s business.