1. DealBook of Ukraine
2020 edition
Covering tech investment deals since
2014

2. 2
Intro
AVentures Capital presentsThe DealBook of Ukraine –
2020 edition
The DealBook is our annual overview of the Ukrainian
tech investment industry.This edition comprehensively
covers the full year 2019
We would like to cordially thank all the market
participants who contributed their insights to the report
DealBook of Ukraine
Previous editions
Other reports on Ukrainian tech
Our joint reports with industry partners

3. 3
Co-founder & managing partner
ys@aventurescapital.com
Associate
yv@aventurescapital.com
Yevgen Sysoyev
YevheniiVashchuk,CFA
Founded in 2012, we are a leading tech investment
fund and M&A advisory firm focused on global
companies that leverage R&D in Ukraine andCEE
With over 20 companies in its portfolio, AVentures
Capital backs talented entrepreneurs from Ukraine
and CEE to fuel their global expansion in the US and
EU markets
Associate
yuliya@aventurescapital.com
Yuliya Sychikova
AVentures Capital Authors of the report

4. 4
Inaccuracies and updates
Even though we have done our best to provide accurate and complete information, we recognize the limits of such industry reporting. We will be pleased
to receive any corrections, notices of inaccuracies or information on deals we may have missed.
New and updated data will be included in the next publication, improving the level of detail and the quality of the report.
Please submit corrections, updates and/or suggestions to yuliya@aventurescapital.com. Our thanks in advance for your assistance, which will make the
next DealBook a better resource for the investment community.
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The content of this report and its summaries are protected by copyright. Individuals and organizations can, without prior authorization and free of
charge, copy and publish without limitation short extracts in the form of quotes.
This report must be clearly indicated as the source with a link to SlideShare page of the report. To copy and republish large extracts, or the full report, or
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Disclaimer

5. 5
2020 in a nutshell
Tech product
companies
Software
development
outsourcing
Exits
Record number and total
volume of deals
Funding
Another record year for total
funding volume, mostly due to
a few large rounds, while early
stage investment is flat
US$ 544m
TotalVC and PE deal volume
First time to surpass US$ 0.5bn pa
US$ 44m
Early stage: Seed and Series-A deals
Access to early-stage capital remains a challenge
US$ 478m
Total volume of tech product exits With most exits under US$ 100m, majority of
startups with US$ 100m-1bn valuations
remain private companies
M&A
Record number of
deals, although most
with a small ticket
Sustained interest from buy-side Seller`s market
• Larger established players consolidate the
industry, harnessing synergies
• Several international strategic players and
PE funds demonstrate interest in acquiring
Ukrainian assets
• Strong trend for industry consolidation
• Few quality companies are put for sale
• We expect more deals in the years to come
Big-ticket exits to internationals

6. 6
Record total
funding volume
2014 2015 2016 2017 2018 2019
Seed
Series A
Series B
Growth and Secondary
Annual investment volume
US$m
323
544
265
80
146
42
Source: public data
In 2019, for the first time the totalVC and PE
investment volume into Ukrainian tech surpassed a
US$ 500m mark
However, most funds were received by a few global
companies with established US presence that
leverage Ukraine for R&D capabilities

7. 7
3 global companies with
Ukrainian roots raised
77% of 2019 funding
2018
2019
Grammarly: Ukrainian-born unicorn
US$ 1bn+ valuation confirmed in the latest US$
90m funding round
Sources of capital for the largest 3 deals
Global investment funds, such as Iconiq Capital,
General Catalyst, Goldman SachsVC etc.
GitLab direct listing planned for Nov 2020
The first multi-billion listing of Ukrainian-born product
tech company. Last round valuation at US$ 2.5bn
Funding volume breakdown
2018 vs 2019, US$m
US$ 323m
US$ 542m
Source: public data
3 deals, 77% of total 2019 funding
Seed SeriesA Growth deals
Late (growth) stage
People.ai: on the way to a unicorn
Series C funding led by ICONIQ Capital with
participation by A16Z, Lightspeed, GGV, and
YCombinator confirmed the US$ 0.5bn valuation

8. 8
International funds continue to
provide majority of early-stage
financing
1. Early-stage local startup investment
volume flat over 2018 and 2019
22
32
11
30
20
9
3
59 19
26
2015 2016 2017 2018 2019
Seed Series A
Source: public data
Annual early-stage funding, US$m
31
34
70
49
46
2. Foreign capital
prevalence
• Most Ukrainian funds only support through Seed,
few Series A focused funds  most SeriesA
rounds are raised from internationals
• Ukraine-born companies typically build physical
presence in their target markets (US/ EU) and
raise Series A-C abroad
• Result: UA startups compete globally for early-
stage financing in international financing hubs
3. LocalVC funds slowed down new
investments, waiting for exits to raise next
funds
79%
85%
53%
61%
20182019
Seed
Series A
Seed
Series A
Share of foreign
capital invested
• Ukrainian funds invested less, as most of them
have distributed their first funds waiting to
raise a second fund

9. 9
Exits as a sign of maturing
product ecosystem
Target Acquirer Sector Target bio
AI Factory * Snap Computer
vision
AI business solutions based on image and video
recognition, analysis and processing
Cropio Syngenta AgriTech Crop management system. Present in 50+ countries,
10+ mln hectares of crops under management
Murka Blackstone Social casino Social casino development studio. 2nd mobile game
developer in CIS by revenue
Busfor * BlaBlaCar Transportation Bus ticketing online travel agency and distribution
platform
Ajax Security Horizon Capital Security IoT Secondary shares sale: SMRKVC fund partial exit.
Smart security systems manufacturer
Globally-successful Ukrainian product companies attract the interest of strategic players, international
buy-out funds, and generate returns for early backers
Ukrainian product companies
start to be active on buy-side
M&A globally
April 2019
Jiji, owned by Ukrainian-based
Genesis, acquired OLX
operations in 5 countries
across Africa
Note: AI Factory and Busfor are international companies with R&D offices in Ukraine
Source: public data

10. 10
Fund landscape:
most active investors
Seed – Series A Growth stage
LocalForeign
• Most local funds support
Ukraine-born startups through
Seed and SeriesA funding
stages
• An increasing number of
international funds invest across
all stages: from offering world
class acceleration programs to
leading in growth rounds by
Ukrainian startups
• As a result, local funds
increasingly compete with global
players for the best deals
Global competition for best deals

11. 11
Software development M&A
Ukraine remains an R&D
destination for global tech leaders
• Companies with dedicated
R&D presence
• Global R&D employs
thousands of Ukrainian tech
specialists
Global R&D destination
Global service business bedrock
• IT Service exports estimated at
US$ 4.5bn in 2018
• 180k+ IT professionals
• Revenue of Ukrainian IT Service
companies grows at 20-25%YoY
on average
Ongoing market consolidation
Sustained interest from buy-side: strategics and PE funds
Seller`s market
Selected PE funds active in the region Selected strategic players active in acquisitions
• Limited number of companies are put for sale, much more demand to acquire than interest to sell
• Acquirers are looking for: (1) access to ample talent pool, scalability, (2) delivery diversification, (3) vertical
capabilities expansion, (4) client portfolio acquisition and (5) technical / language capabilities
• Ukraine is a part of global consolidation play among software development outsourcing companies
• Key consolidation fundamentals: (1) the competition for talent and (2) market maturity
• Top 5 software development outsourcing companies in Ukraine employ only 15% of total IT professionals population
Source: AVentures Capital

12. Appendix
Investors portfolio, top e-commerce
players and the DealTable

13. 13
Investors portfolio (1/2) Early stage investors
Selected Ukrainian portfolio companies by funds

14. 14
Investors portfolio (2/2) Growth stage investors
Selected Ukrainian portfolio companies by funds

15. 15
Product companies with
most international revenue
Tech holding with fast-
growing products operating
in developed and emerging
markets
AI-powered spell-check SaaS
company
Document
management SaaS
Multifunctional
cryptocurrency
exchange
Leader in Connected
Pets IoT market
segment
Creatio is a leading low-code,
process automation and CRM
company
Security and cleaning
software for Mac
E-commerce travel
distribution company,
EMEA region
Payment and content
distribution platform for digital
goods
Developer of iOS
productivity apps
Mobile app for event
planning
Mac software
development company
Tools to increase user
adoption and ROI of
enterprise applications
(CRM, ERP etc.)
AI platform for enterprise
sales, marketing, and
customer success
Single application for
entire software
development lifecycle
Full-service bitcoin and
blockchain technology
company
Second most visited job
aggregator in the world
Micro-stock photo-bank
online marketplace
Photo editing
software
Smart security systems
manufacturer

16. 16
Top e-commerce
companies
Global players (dropshipping) Local players (locally founded or dedicated presence)
Electronics + marketplace
Fashion + marketplace
Classifieds
owned by Rozetka
Perfumes &
personal care
also #2 in perfumes &
personal care

17. 17
Deals of 2019
Logo Company Sum raised,
US$m
Investors Investment
type
Deal class Brief description
GitLab 268.0 Goldman Sachs, Iconiq Capital, Y Combinator
Continuity Fund
VC Series E Web-based open source Git repository manager
AI Factory 166.0 Snap Strategic M&A Mobile startup developing unique Computer Vision
and AR products
Grammarly 90.0 General Catalyst VC Growth Digital writing assistant
People.ai 60.0 Iconiq, Andreessen Horowitz, Lightspeed
Venture Partners, GGV Capital, Y Combinator
VC Series C AI platform for enterprise sales, marketing, and
customer success
Jiji 21.0 Knuru Capital VC Series C Online classifieds company
Ajax Systems 10.0 Horizon Capital PE Growth Smart home security systems and sensors
Allset 5.0 EBRD VC Series A On-demand dine-in technology platform
Unstoppable Domains 4.0 Draper Associates VC Series A Domains secured by blockchains and uncensorable
websites
Captain Growth 3.8 Perion Strategic M&A AI-powered app that automates marketing
analytics and finds insights
MyCredit 3.0 TAS Group VC Series A Payday loans platform
PromoRepublic 2.3 Finnish Public Fund, angels VC Seed Social media content automation solution for SMEs

18. 18
Deals of 2019
Logo Company Sum raised,
US$m
Investors Investment
type
Deal class Brief description
Dorian 2.0 March Capital Partners, London Venture
Partners
VC Seed Interactive stories mobile platform
Allright.io 1.5 Flashpoint, angels VC Series A Online English school for children
RetargetApp 1.5 TMT Investments, TA Ventures, Aitarget, angels VC Seed AI-powered digital advertising solution
AxDraft 1.4 FundersClub, SCM Advisors, Overkill, angels VC Seed On-demand automation of legal processes for
enterprise
Liki24 1.0 TA Ventures, Genesis Investments, Mission Tech,
angels
VC Series A Drug delivery service provider
IntellectoKids 1.0 Genesis Investments VC Seed Casual app development for children
Mate Academy 0.6 Genesis Investments, TA Ventures, angels VC Seed Online platform for studying programming
Localhalo 0.5 Angels Angel Seed A smart messenger for chatting with neighbors
Animal ID 0.5 Angels Angel Seed International platform for pet owners
Love&Live Fashion 0.6 SMRK VC Seed A group of fashion brands
Litnet.com 0.3 Admitad Invest VC Seed Online e-book platform

19. 19
Deals of 2019
Logo Company Sum raised,
US$m
Investors Investment
type
Deal class Brief description
DeepTrait 0.3 Starfinder, NCBR, angels VC Seed AI-powered gene analysis solutions
Newoldstamp 0.2 500 Startups Accelerator Seed E-mail signature generator
Respeecher 0.1 Techstars Accelerator Seed Real-time voice cloning technology
SportLab AI 0.1 Angels Angel Seed Sports analytics platform
VR Inn 0.1 Angels Angel Seed VR content marketplace
Nuwork 0.1 Sector X, Unit.City, angels Accelerator Seed Automation of entry-level retail & HoReCa job
applicants screening
Greenbin.app 0.1 Huge Thing Accelerator Seed Packaging tracking system
Do Mite System 0.05 Angels Angel Seed Interactive dashboards for owners and managers of
business
Desnovation 0.03 Steppe VC Seed Residential design marketplace
Measy 0.02 Startup Wise Guys Accelerator Seed Automated remarketing platform for e-commerce
FakesRadar 0.02 Startup Wise Guys Accelerator Seed Fake detection solution

20. 20
Deals of 2019
Logo Company Sum raised,
US$m
Investors Investment
type
Deal class Brief description
AYE Technologies 0.02 Startup Wise Guys Accelerator Seed Eye retina identification solution
Hive.id 0.02 Startup Wise Guys Accelerator Seed Identity management solution
Bot&Partners 0.02 Opendatabot VC Seed Legal big data solution
Revizion 0.01 Angels Angel Seed Client feedback collection solution
Murka n/a Blackstone PE Buyout Online games and social casino development
Busfor n/a BlaBlaCar Strategic M&A Bus ticketing online travel agency and distribution
platform
Cropio n/a Syngenta Strategic M&A Crop health management and vegetation control
platform
OLX Africa n/a Genesis (Jiji) Strategic M&A OLX operations in Nigeria, Kenia, Ghana, Uganda,
Tanzania
StepShot n/a UiPath Strategic M&A Business process automation solutions
Eda Ua n/a Menu Group Strategic M&A Food delivery service
TurnKey Lender n/a OSK Ventures, Vertex Ventures SEA & India,
Western NIS Enterprise Fund
VC Series A Cloud-based lending automation

21. 21
Deals of 2019
Logo Company Sum raised,
US$m
Investors Investment
type
Deal class Brief description
Homsters n/a Ringier, CAV Investment Group VC Seed International real estate marketplace
Zagrava Games n/a Playrix Strategic M&A Mobile game development studio
Doc Ua n/a Effective Investments VC Secondary Online search service for medical appointments
Seadora n/a SMRK VC Seed Seafood delivery platform
PatentBot n/a Angels Angel Seed Chat bot for trademark registration and checking
Kira n/a Icebreaker VC Seed Business analytics for SMEs
GEO Protocol n/a CoinFund VC Seed Value transfer ecosystem, merging blockchain and
traditional finance networks
Basenji Apps n/a Genesis Investments VC Seed E-Learning startup that teaches kids to speak
English
h8games n/a Voodoo Strategic M&A Casual games development

22. 22
Deals of 2019: software development companies
Logo Company Sum raised,
US$m
Investors Investment
type
Deal class Brief description
Ciklum n/a Dragon Capital, AVentures Capital PE Growth Custom software development company
Viseven n/a AVentures Capital VC Series A Healthcare-focused software development
company
Star (ex-Cogniance) n/a NTT Data Strategic M&A Software development outsourcing company
Astound Commerce n/a Salesforce Ventures VC Growth E-commerce solutions provider
Acceptic n/a Yael Group Strategic M&A Custom software development company
Logicify n/a DataArt Strategic M&A Custom software development company
Rozdoum n/a InSoft Software Strategic M&A Custom software development company
Rademade n/a InSoft Software Strategic M&A Custom software development company