Following the recession in 2016, Ukraine now sees its digital markets and innovation scene growing very fast. Ukrainian startups (or startups founded by Ukrainian entrepreneurs), raises $265 million in 2017, up 231% from the previous year. This is one of the key findings of “The Dealbook of Ukraine”, an annual industry report published by AVentures Capital in partnership with local industry associations UVCA (Ukrainian Venture Capital & Private Equity Association) and UAngel, as well as Ukraine Digital News.
According to Dealbook, there were 44 disclosed investment deals in 2017, 90% of which were led by foreign investment funds (i.e. General Catalyst, IVP, Spark, Almaz Capital) with the participation of local funds in the majority of the rounds.
“The fact that more than $630 million were invested in Ukrainian startups over the past years signals the industry’s resilience amid the country’s economic and political challenges,” said Yevgen Sysoyev, managing partner of AVentures Capital and co-author of the Dealbook. “We are proud, that AVentures was first ever venture capital fund launched in Ukraine and, remains one of key players on the investment market along Horizon Capital, Digital Future, TA Ventures and international fund”.
The biggest deals of 2017 involved Grammarly ($110 million from General Catalyst, IVP, and Spark Capital); BitFury ($30 million from Credit China Fintech Holdings); Petcube ($10 million from Almaz Capital, Y Combinator, AVentures Capital, U.Ventures, Digital Future and others); People.ai ($7 million from Lightspeed Venture Partners, Index Ventures, Shasta Ventures, Y Combinator, SV Angel).