Baltics Seek Lockstep With High Tech States


The Baltic States are set to launch several private capital and venture capital investment funds, sending a clear message that the region wants to be in lockstep with technologically more advanced Western European and Nordic countries.

INVL Asset Management, one of Lithuania’s leading asset management companies, entrusted with more than 540 million euros of assets by nearly 200,000 clients in Lithuania and Latvia, as well as international investors, is setting up a 200 million euro private capital investment fund aimed at mature firms.

“The fund will focus on companies with distinct growth, buy-and-build and buy-out strategies with deals fluctuating in the range of 10-30 million euros,” Vytautas Plunksnis, director of Private Capital Investment Department at INVL Asset Management, told Emerging Europe. “We plan to have 8-12 companies in our portfolio.”

According to Mr Plunksnis, the first investments are planned in the Baltics  – Lithuania, Latvia and Estonia – but the fund company is also eyeing expansion to other Baltic Sea countries including Poland, Germany and the Nordic states.

Contributors to the fund include both international investors and a pension fund managed by INVL, with investments having already reached the benchmark of 0.5 billion euros, with the internal rate of return standing at 27 per cent.

Meanwhile, Lithuania’s Ministry of the Economy is rolling out a new venture capital fund of its own, Open Circle Capital.

It will invest 20 million euros in high tech firms with high growth potential SMEs.

“Investments by this fund will bridge the gap between science and business, assist companies in their initial phase and give a further impetus to the creation and growth of innovative and high value-added science-based companies in Lithuania” said minister of economy Mindaugas Sinkevicius.

“Venture capital investments in Lithuania are insufficient, especially in early-stage high tech companies. We are specifically targeting them,” Lina Sabaitiene, the ministry’s deputy minister, told Emerging Europe.

The ministry has earmarked 13.8 million euros for the fund, which will be managed by JSC Robos Capital.

BaltCap, the Baltics‘ largest manager of private and venture capital funds, recently established the 100 million euros BaltCap Infrastructure Fund, which will invest in the expansion of transport and energy infrastructure in Lithuania, Latvia and Estonia.

The European Investment Bank (EIB), Nordic Environment Finance Coporation (NEFCO), the largest Baltic pension funds and a number of other institutional investors have all put their money into the BaltCap fund. EIB‘s share is 25 million euros.

At the end of September BaltCap signed a deal that will see it take part in the construction of a 16 million euro 48MW biomass-fired power plant in Lithuanian capital Vilnius.

“These venture capital investments are to expected given that high tech innovations create an increasingly larger economic value,” Ilja Laurs, a well known Lithuanian entrepreneur and venture capital investor currently chairing Nextury Ventures, the Baltics’ largest seed capital fund to support startups, told Emerging Europe.

“For example, NASDAQ has seen a rapid rise of new high tech listings. However, the Baltics are still at the starting gate – venture capital investments in Lithuania are insufficient, especially in their early stages.”


Bloomberg Croatia Business Day 2015

Bad Payers Still Causing Problems for Romanian Firms

Close up Romanian currency note, LEI or LEU, Romania

Non-Financial Reporting No Longer a Secondary Consideration in CEE

Sarajevo Stock Exchange Connected to SEE Link

sarajevo stock exchange

Western Ukraine Could Be an Entry Point into the Country

Slovenia Sets Green Vehicle Deadline of 2030


A Risky Evaluation of Croatia’s Economy?

ZAGREB, CROATIA - JULY 17, 2017: Square Ban Josip Jelacic with tourists and trams on a summer day in Zagreb. City of Zagreb is the capital of Croatia.

Doing Business Across Eurasia Could Be Easier

Eurasia emerging europe schneider group

Business Standards Are High in SEE But Vary Widely

Aerial view of The Cathedral of the Assumption in Varna

Estonia Leading CEE Country in WEF Competitiveness Index

pharmaceutical factory woman worker operating production line at pharmacy industry manufacture factory

Ametek opened a new factory in Subotica

Moldova Launches New e-Procurement System In Search For Positive Change

Photo team work process, holding contract hand, signs documents. Account managers young crew works with startup project.New idea presentation, analyze marketing reports.Blurred, film effect, horizontal.

EconMin: Bulgaria — Number One Outsourcing Destination And an Island of Stability in Europe

GE Inaugurates Its New Bucharest Software Centre

Asian Outsource Developer Team Sitting At Desk Working Laptop Computer Mobile Application Software Real Office

Nadiya Savchenko: I Dream of a Great Ukraine

Panorama of the top part of the Andrew's Descent from Castle Hill in springtime in Kiev Ukraine.

Growth Continues for State-Owned Azerbaijan Airlines

Azerbaijan Baku - September 16 2015: View of the Heydar Aliyev International Airport sign in Baku Azerbaijan. The airport is the home of Azerbaijan Airlines the national flag carrier.

China Agrees to Build Hi Tech Business Park in Serbia

BELGRADE SERBIA - SEPTEMBER 29 2016: View on the city center and the junction of Rivers Sava and Danube in Belgrade Serbia.

Albania’s Construction Sector Supports the Country’s Growth

SARANDA, ALBANIA - MAY 18: View of the city Saranda, most important tourist attraction of the Albanian Riviera on May 18, 2017 in Saranda, Albania.

CEE-Benefits and Disadvantages of Joining the Eurozone

forint zloty euro

Towards a resilient Europe, strategies for the future

Estonia — Easy Doing Business Destination seminar in the UK

Economy Minister: Internationalisation Is the Key To the Slovenian Economy

Despite Public Anxieties, Migration is Playing a Key Role in ECA Growth

Bratislava city aerial panoramic view. Bratislava is the capital of Slovakia.

IMF Increases Growth Forecast With Emerging Europe Prominent

Dambovita river and center of Bucharest at sunset time Romania.

Poland’s Business Constitution Must Be Finalised

Front of finance ministry in Warsaw Poland with a fountain framing the entrance. Could be used for images about Euro currency problems

Lech Wałęsa: Hard Options Can Force Nations to Get Down to Work

Merkel: Albania is taking big steps forward

Ukraine to Restart Privatisation to Realise Profits

Pricatisation electricity ukraine

More EU Help for Belarus SMEs

GRODNO BELARUS - DECEMBER 13 2013: Seamstress in textile factory sewing with a industrial sewing machine .

Emerging Europe Makes Great Strides in Improving Business Regulation for Entrepreneurs

Skopje Macedonia

CEE Tech Growth Continues: Poland and the Czech Republic Lead the Way


Ukraine Is Offering Europe Unique Combat and Technological Experience

Romanian Cabinet Reshuffled as New Splits Emerge in Ruling Party

BUCHAREST ROMANIA - MAY 25 2014: The Victoria Palace. Victoria Square.

Belarus’ Economy Is Slowly Recovering From Past Declines

The Reality in Romania Exposes False Perceptions Of The Country

Trans Adriatic Pipeline Will Fuel Albanian Growth

Xanthi. Greece - July 30 2017: aerial view of construction of gas pipeline Trans Adriatic Pipeline - TAP in north Greece. The pipeline starts from the Caspian sea and reaches the coast of southern Italy

High Real Estate Prices at Home Force Czech Investors Abroad

Construction of the Petrin lookout tower in Prague Czech Republic

Macedonia — Stepping Out Of the Shadow Of the Balkans

After Economic Shocks Armenia Plans for Macroeconomic Stability

yerevan armenia minister of finance

Hungary Today: Potential and Challenge

Chain bridge on Danube river in Budapest city. Hungary. Urban landscape panorama with old buildings and domes of opera

Lithuania Set to Streamline Competition Legislation

Industrial dock with cranes on the quay

UK Economic Growth Slows as Brexit Uncertainty Bites

flags of UK and EU combined over icons of London - Brexit concept

Poland Stays Cool on Euro Adoption

Euro cash and Zloty on one photo.

Globalisation Needs to Work, Not Only for the Few but for the Most and in Demonstrable Ways

Global Spread

Estcoin: Estonia’s Own Digital Currency?

1 euro coin money (EUR) currency of European Union Estonia over blue background

Jadranka Joksimović: Serbia Takes Its Candidacy of the EU Seriously


Croatian Salaries Are Growing in Line With Other CEE Countries

Dubrovnik Croatia emerging europe

Air Passenger Volumes Reach Record High in the Baltics


Belarus Introduces New Business-Friendly Auditing Procedures

MINSK, BELARUS - AUGUST 15, 2016: Aerial view of the southwestern part of the Minsk with Palace of Sport and old and new other buildings. Minsk is the capital and largest city of Belarus.

Do Your Homework First and Starting Business in Poland is Easier

Belarus is the most creative EEU country

Larisa Manastirli: Where is Bulgaria After Ten Years in the EU?

Plovdiv — an emerging outsourcing destination

Derek Chollet: There Is a Resurgence of Supporters of the Transatlantic Relationship

white house

Poland’s Q2 2017 Growth Is Stronger Than Expected

WARSAW, POLAND - MAY 07, 2016: Building Palace of Culture and Science among the modern buildings of the city

Automotive and Transport Companies Dominate the CEE Region

Car bodies on the production line inside automobile factory

Effective Policies Have Strengthened the Georgian Economy

TBILISI GEORGIA Jul. 18 2017: Bridge of Peace is a bow-shaped pedestrian bridge a steel and glass construction over the Kura River in downtown Tbilisi capital of Georgia

EU Membership and Transition into Market Economies Have Helped CEE Achieve Social Progress

Albania is creating three free economic zones

Revenues Of Bulgarian IT Companies Have Sextupled In the Last Decade

Bosnia and Herzegovina: Focussing on Stability and Business Climate

Sarajevo Bosnia and Herzegovina - August 23 2015. View of Miljacka River in Sarajevo city

Investing in Ukrainian Food and Agriculture

The Slovak Matchmaking Fair open for registration

EY: Belarus’ IT Scene Is Thriving

High tech park minsk

Romanian Economy Grows Fast in 2017

Brasov cityscape panoramic and aerial view over medieval architecture of Brasov town, in Transylvania Romania

Škoda too Strong for VW Group

MLADA BOLESLAV CZECH REPUBLIC - MAY 30: Skoda Octavia on conveyor line during Doors Open Day at Skoda Auto a.s. factory. Skoda auto celebrated 120 years since its founding on May 30 2015 in Mlada Boleslav.

GSA Names Ukraine as UK’s Offshoring Destination of the Year

map of ukraine emerging europe

Poles Still Keen on German Jobs

Brandenburg Gate in Berlin in Germany. The Brandenburg Gate is a triumphal arch a city gate in the center of Berlin. It is one of the most known sites in Berlin.

Kosovo: A Population of Talented Young Entrepreneurs Waits at Europe’s Door

Investigations Into the Corrupt Ukrainian Fuel and Energy Sectors

Ukrainian money hryvnia. The national currency. Corruption in Ukraine

Poland Is Set To Become a Large Economic Zone

Aerial view over the building materials processing factory. View from above.

Albania’s Economy Booms Despite Political Infighting

Panorama view to the city Tirana Albania

Serbia, Belarus and Ukraine Ranked Lowly by Wharton Business School

Kyiv Ukraine - April 172017: The postal square in Kiev on Podol the Dnipro river. view of the square from the river panorama

Digital Business Space Gives All Businesses an Office in Sarajevo

Sarajevo Bosnia and Herzegovina - August 24 2015. View from Vraca Memorial Park with building of Avaz Twist Tower

Mayor: Armenia And Its Capital Yerevan Offer Safe Investment And Tourism To a Growing World

World Bank: Brexit Hides Greater Challenges to the European Union and the CEE Region

The Czech government attracts FDI and creates jobs

Estonia Proposes Bill of Rights and Responsibilities for Robots

Robotic hand accessing on laptop the virtual world of information. Concept of artificial intelligence and replacement of humans by machines.

Slovenia is CEE’s leader in innovation

Beyond Borders: Immigration Within the EU

refugees immigrants

CEE Nation Brands Still Behind Western Counterparts

TALLINN ESTONIA- JUNE 17: View of the modern high rise buildings on border with an old part of the city on June 17 2012 in Tallinn Estonia

EBRD Finances Small Business Support And Foreign Trade Promotion In Belarus

German Multivac invests €15 million near Sofia

Prospering Czechia Still Needs a Bigger Workforce

prague emerging europe

21st century Manufacturing Arrives at Great Stone

Great stone

Ukraine’s Q2 Growth Climbs

kyiv ukraine emerging europe

Chris Lowney — What Jesuit Spirituality Can Teach Us About Global Leadership

Poland to Switch from Emerging to Developed Market by September 2018

warsaw stock exchange

SEE Link — Sharing SEE Europe’s Hopes for a Brighter Investment Future

Global Players Dash for Tempting CEE

dollar pound euro coin on euro background.

CEE Is Key to China’s Belt and Road Initiative

Shanghai skyline Panoramic view of shanghai skyline and huangpu river Shanghai China

World Bank’s Doing Business Report 2016 Resume For Emerging Europe

Valga and Valka – Where Estonia and Latvia Work Together

Valga valka emerging europe

Polish Labour Market Deficits Are Impacting All

Construction site with crane and building. Construction site in western europe - in Poland.

High-Tech Park in Minsk is growing rapidly

Foreigners choose Minsk and Gomel as Belarus’ most attractive FDI destinations

Lithuania Gives Innovation a StartUp

MILAN ITALY - MAY 2: People visit Lithuania pavilion at Expo universal exposition on the theme of food on MAY 2 2015 in Milan.

Putin Urges Belarus to End Oil Transit Through Lithuania

Athens Greece - May 27 2016: Russian President Vladimir Putin delivers

Still Potential for Growth in CEE as Economies Stabilise

Georgia’s Growth Continues

Batumi, Adjara, Georgia - May 27, 2016: Batumi, Adjara, Georgia. Gogebashvili Street Road And Marine Station Or Maritime Station Building Batumi On Background

CEE Emigrants Could Boost Their Countries’ Economies

Londoners walking through Millennium Bridge with St.Paul's Cathedral at the background after sunset - London, UK

Lithuania Handed Top Marks for Business Services

Beautiful panorama of Vilnius Old Town taken from Gediminas hill; Lithuania

Belarus-Turkey Investment Forum to increase investment and trade between the two countries

Slovenia is the CEE region’s leader in VAT collection

Bulgaria’s cooperation with Israel could boost the economy

Romanian Car Maker Dacia Sees Sales Boom

Sables d Olonne France - May 07 2017 : Dacia Tour 2017 is a commercial operation organized by the car builder in order to present its cars throughout France - Close-up on cars

Romania Cuts Income Tax, Introduces Solidarity Tax

CLUJ NAPOKA ROMANIA - OCT 2 2016: People on the central street of Cluj Napoka - the unofficial capital of Transylvania.

Fitch And the World Bank: Economic Growth To Remain Solid Within CEE In 2016

Meghri Becomes Armenia’s Third FEZ

armenia emerging europe

Changes Are Making Ukrainian Banking More Aligned with International Standards

IMF Believes State-Owned Enterprises Must Be Reformed

Image of the banknotes of new Belarusian banknotes five rubles put into circulation July 1 2016

More Brexit Fears As the UK Proves To Be A Needed Member

City of London view from Waterloo Bridge. This view includes: St. Paul`s Cathedral The Gherkin Tower 42 and Blackfriars Bridge.

PE and VC Investment In CEE Is At an Eight-Year High

venture capital

Lviv Is the Pearl and the Soul of Ukraine

CEE Must Improve Infrastructure and Logistics

Aerial view of Gliwice Sosnica motorway junction. There are international traffic in four directions

Chickens Blamed for Romanian Budget Deficit

Two white chickens or hens inside a chicken coop or hen house seen through chicken wire.

Economy builds bridges in Mostar

New investors interested in Belarus’ Great Stone Industrial Park

Latvia Urged Not to Increase Expenditure As Economy Grows

Riga, Latvia - August, 2010: Panorama view from Riga cathedral on old town of Riga, Latvia

Leave a Reply

Your email address will not be published. Required fields are marked *