The Lithuanian startup ecosystem 2023 review

TheLithuanianstartupecosystem2023 February2024 Page/2 In2023,Lithuania'sstartupecosystemcontinuedtogrowsteadily,establishingitselfasoneofthemostpromisinganddynamicstartuphubsintheregion. “ GintarėNarakienė Head ofStartupLithuania Between2018and2023,theecosystem'svaluegrewbyanimpressive7.1times,surpassingboththeBalticsandthewiderCentralandEasternEuroperegions. Moreover,itclimbedtothesecondpositioninCEEbyVCinvestment. Theseachievementsunderscoretheecosystem'sabilitytoattractandmobilizetalent,competencies,infrastructure,andresources,whichinturngeneratehigh-valueopportunitiesandstableinvestments. Goingforward,Lithuania'sstartupecosystemispoisedtoofferawealthofprospectsfortechindustryinsidersandinvestorslookingtocapitalizeonitsgrowthpotential.” Nationalstartupecosystemfacilitator Early-stageVCfundfocusingonBalticfounders Pan-Balticlegaladvisoryfirm Officialdevelopmentagencyofthe CityofVilnius Globalstartup&venturecapitalintelligenceplatform Page/3 Bybuildingbridgesbetweendifferentecosystemplayers,StartupLithuaniaaimstohelpcurrentandpotentialLithuanianstartupfounderstostart,growandscaletheirbusinesses.Weorganizeworkshopsandaccelerationprograms,giveconsultations,offerdifferentsupportschemesforstartups,presentourecosystemabroadandcollaboratewithmajorinternationalstartupeventsinLithuania. StartupLithuaniaisapartofofficialpublicagency–InnovationAgencyLithuania –Lithuaniaʼsbusinesscompetitivenesspartnerinaglobalworld. PracticaCapitalisan early-stageVCfirmwiththesolepurposeofbackingBalticentrepreneurs.ThefirmhasbeeninvestedexclusivelyintechpotentialintheBalticStatesforover10years.PracticaCapitalbackgreatfoundersintheirambitioninseed,selectedpre-seedandSeriesAstagesandpartneringwiththemascompanybuilders.PracticaCapitalmanagesfourfundswithmorethan€130minAUM.Todatethefirmhasmadeover60investments,includinggreatcompanieslikePVcase,TransferGo,Interactio,Eneba,Ovoko,Cgtrader,AtrandiBiosciences,HeavyFinanceandothers. TRINITIisaleading pan-Balticlegaladvisoryfirmwithextensiveexperienceinstartups,M&A,andprivateequity.Ourforward-thinkingteam,consistingof100professionals,isinternationallyrecognizedforachievingsuccessonclients'terms.Specializedcross-borderpracticegroups,fluentin8languages,TRINITIservesasaone-stopagencyinLithuania,Latvia,andEstonia. VilniusTechFusion–abrandrepresentingtheLithuaniancapitalʼsleadingtechnologysectors:ICT,Fintech,GameDev,LifeSciencesandLasers.Itstandsforthecityitself,whichisdrivenbyinnovation,knowledgesharingand open-mindedness. VilniusTechfusionwasdevelopedbyGoVilnius,thecapitalʼsofficialdevelopmentagency.GoVilniusprovidesvisitors,investors,relocatingtalent,entrepreneursandbusinesseswitheverythingtheyneedtoknowaboutthecity. Dealroom.coistheforemostdataprovideronstartup,early-stageandgrowthcompanyecosystemsinEuropeandaroundtheglobe. FoundedinAmsterdamin2013,wenowworkwithmanyoftheworld'smostprominentinvestors,entrepreneursandgovernmentorganizationstoprovidetransparency,analysisandinsightsonventurecapitalactivity. KeyTakeaways In2023,Lithuaniamaintainsitspositionasthefastest-growingstartupecosystemintheBalticregion. ThecombinedenterprisevalueofLithuanianstartupshasgrown7.1xbetween2018and2023,againstaCEEgrowthaverageof3.6xandaBalticsgrowthaverageof2.7x. Lithuanianstartupsraised€292Min2023 Lithuaniaranks2ndamongCEEfor2023VCinvestment,and2ndforVCinvestmentpercapita.EnterpriseSoftware,SecurityandEnergyareLithuaniaʼsmostfundedindustries. Vilniuscompaniesraised96%ofallfundingraisedbyLithuanianstartups. With890+startups&€12.4Bincombinedecosystemvalue,Vilniusaloneaccountsfor91%ofthecombinedenterprisevalueofLithuanianstartups.KeysectorsareFintech,ICT,GameDev,Biotech&Lasertech. EcosystemValueGrowth2018-2023 VCInvestmentraisedbyLithuanianstartups SelectedVilniusHQstartups €474M €414M €292M 2019 2020 2021 20222023 Page/4 Tableofcontents 1.EcosystemReviewin2023 2.2023InvestmentUpdate 3.VilniusHighlight Co-authors: AliakseiVinchoInnovationAnalystatDealroom.co NinaChaloumInnovationAnalystatDealroom.co SyifaRionaAmaniAccountManageratDealroom.co GretaMiliauskienėCommunicationProjectLeaderatStartupLithuania MildaBarčiauskaitė ProjectManager atStartupLithuania LukasBorisovas ChiefMarketingOfficeratPracticaCapital GiedrėČiuladienė Partner atTrinitiJurex VilmaDaubarienėHeadofTourismatGoVilnius MonikaVaicekauskėBusinessProjectManageratGoVilnius Withcontributionsfrom: GintarėNarakienė Head ofStartupLithuania DovilėAleksandravičienė CEO atGoVilnius Page/5Source: Dealroom.co 1.EcosystemReviewin2023 Page/6 In2023,Lithuaniamaintainsitspositionasthe fastest-growingstartupecosystemintheBalticregion. Ecosystemvaluegrowthofselectedecosystems Growth2018-2023 Overthepastyear,LithuanianecosystemincreaseditsshareofthetotalenterprisevalueintheBalticsfrom27%to31%andfrom5.5%to6%intheCEEregion. value2018 CountryorRegionEnterprise Enterprisevalue2023 Growth €225.6B CEEEV Lithuania6% Europe €1.4T 2.9x €4.1T CEE €62.1B 3.6x €225.6B Baltics €16.1B 2.7x €44.1B Estonia €13.8B 2x €27.6B Lithuania €1.9B 7.1x €13.7B Latvia €472.2M 5.9x