According to representatives of both companies, the synergy between the companies became possible due to common ambitions and a combination of favourable conditions for both parties. Mergewave Capital, the exclusive investment representative of Euvic Group in Ukraine, facilitated the takeover.
With its integration into Euvic Group, Artkai will be able to enter new markets and expand its client base. For Euvic Group, this represents a strategic partnership with a shared vision for further development.
Strategic partnership and entry into a large international IT corporation can provide many advantages for Ukrainian IT developers: additional financial capital for expansion or solving current problems; their experience in improvement of company management, for example, in Euvic there are joint meetings of all managers, a kind of CEO community; access to new markets, because it is impossible to get large enterprise orders if you are not an enterprise-level company yourself; cross-selling in the middle of a group of companies or some technological stack that can be closed to its customers; the umbrella of a strategic partner helps to survive difficult times in the industry, and to share both successes and risks. One of the less obvious benefits is that a company's capitalization can grow from such a takeover.
Although we cannot disclose the value of the transaction, I must note that Euvic does not seek profit from cheap valuations and all acquisitions that are still planned in Ukraine are carried out at the highest EBITDA multipliers that were characteristic of the sector before the war and the recession that is possible already started.
Artkai has been on the market since 2014 and specializes in application development for the FinTech, PropTech, MarTech and digitalization industries for SMBs/SMEs. The main clients are companies from the USA and Europe. The headquarters of the company is located in Ukraine, but there is also a representative office in Belgium, Switzerland, the USA and Great Britain.
Euvic Group has been working in the Polish IT market for 18 years, the company has a global workforce of about 6,000 employees. Despite the war and the global crisis, Euvic Group representatives see the great potential of the IT sector in Ukraine.
Earlier Euvic acquired a share of another Ukrainian company Exoft and plans a series of investments in IT outsourcing companies in Ukraine, the main requirements are a company of 50-150 people in Ukraine with expertise in .net and web development.
