The foundation will be investing in “businesses with proven indicators at an early stage”. K&T will also provide assistance in the areas of regulation, finance and marketing. The focus is set on startups from the countries of the former CIS who are planning to enter new markets. For K&T It does not matter where they are legally registered.
In addition to the venture capital fund, K&T also calls themselves a “hybrid accelerator”. It is aimed at start-ups that went through a first stage, with a proven business model in various industries, including mobile technology, advertising, fintech and the Internet of things. Among the services that the accelerator plans to provide there are:
- legal: help in compliance with all the regulatory requirements of countries where the startup is going to be launched;
business development: networking and help in establishing the right connections;
- financial: building a financial infrastructure in accordance with the EU requirements, including working with banks etc.;
marketing: rebranding of companies, assistance in the correct positioning relative to competitors in new markets.
K&T Accelerator does not take a stake in the company, but charges fees depending on the volume of services provided. The venture fund, however, works according to the traditional model, receiving shares of the project in return for the investments. The average size of investments in K&T was not disclosed, explaining that everything depends on the specific case, but usually it is a question of the round A. Checks at this stage can start from 500,000 euros according to the representative of the foundation.
“K&T is trying to become an integral part of the business and its restructuring process, after which it will take part in the syndicated round B together with other institutional investors,” – Gil Regev, marketing director of the fund, told AIN.UA strategy.
Together with the closure of the fund, K&T announced about investments in the portfolio companies RGK Mobile, 7Ads and Ecoisme. The founders and leaders of RGK Mobile, which develops payment solutions for mobile operators, are the managers of K&T Capital. 7Ads operates under the Oblivki brand in the field of native advertising with companies and publications in the CIS countries.
The Ukrainian startup Ecoisme, whose device and software allows you to monitor and control energy consumption in your own home, is now preparing to launch equity-crowdfunding in the Great Britain. The company explained that K&T plans to act as a lead investor as a part of the campaign.