The UVCA Association conducted an analysis of investments directed to Ukrainian startups. Last year was a record year for this area and many promising domestic projects received funding.
Which Ukrainian startups are interesting for investors
A major project is the development of a missile by Yuzhnoye SDO specialists. The complex is created on the basis of Cyclone-1M, which belongs to the category of light. The rocket meets all world requirements for launching small and medium size space satellites into low Earth orbit. The weight of the complex is 63 tons, and it can rise to an altitude of 600 meters. The developers note that the rocket will carry cargoes up to 750 kg. The territory to launch the spacecraft will be the Kherson region or the Dnieper and Bug estuaries.
Startup Kwambio from Odessa which offers to create artificial human bones and even organs by means of 3D printing technology has interested investors. The project team presented its development of 3D printers and programs to them, which can be combined with biological structures. Raw materials for bone printing are ceramic bio glass and advanced biopolymer. Materials have passed all necessary checks in Sweden and now are tested in Ukraine.
Another Kwambio product is a platform for virtual human atlas based on MRI, CT and 3D scanning results.
These are just some examples of start-ups that have found their investors. This segment is developing, there are new projects that are interesting in the world market.
UVCA has analyzed investments in Ukrainian startups. Over the period of 7 years, new projects received $1 billion in investments, almost 30% of this amount was allocated last year. A total of 115 deals were executed in 2018, while in 2017 there were 89 of them. Most investors are foreign businessmen and companies from the USA.
The maximum number of deals was made in Round B and Growth Stage, while Pre-seed and Seed also showed positive dynamics.
Startups with software, various online services and hardware are popular with investors.
There have been seven M&A transactions, the total volume of investments in which is $25.2 million. This trend indicates the relevance of domestic technologies for improving and organizing the business.
Despite the overall increase in investment in startups, ICO financing has decreased. In total, 4 deals with a total amount of $58.3 million were executed.
The Association noted good prospects of startups development in Ukraine. However, many young projects face a number of difficulties inside the country that do not allow them to apply for large financial investments and improve their product.