LitCapital invests €1 million in Cargo Stream’s vision to disrupt logistics industry

10/08/2023

LitCapital, an independent growth capital fund dedicated to investing in high-growth companies in the Baltic region, has completed an investment into the supply chain logistics management platform, Cargo Stream.

Founded in 2019, Cargo Stream’s modular cloud-based workspace integrates supply chain processes to enhance control, resource efficiency, and communication from freight sourcing to transport execution and auditing. It offers shippers a streamlined tendering process, facilitates triangulation for maritime, and provides forwarders with an integrated direct booking interface. The investment will accelerate Cargo Stream’s growth by supporting its global expansion through further product development and customer acquisition, as the platform has already shown its ability to attract the interest of major international supply chain market participants.

“We are excited to partner up with LitCapital, an established institutional investor, for our next phase of growth. This investment represents a significant milestone for Cargo Stream as it will further broaden our geographical reach: accelerate growth into Poland and bolster operations in the United Kingdom,” said Šarūnas Belickas, COO of Cargo Stream.

Šarūnas Šiugžda, Founder and Managing Partner at LitCapital, commented: “Cargo Stream exemplifies all the qualities we look for in an investment, including entrepreneurial spirit, robust product quality, speed of multinational customer adoption and a competitive position in a fast-growing market. Cargo Stream has identified a unique opportunity in the logistics market, effectively developing and launching an innovative and technologically sophisticated supply chain management platform. The demand for efficient and digitized logistics management is continuously growing and its significance will only increase in the future. We are extremely happy to be able to work with the team of Cargo Stream.”

LitCapital led the investment round in an electric powertrains designer and manufacturer Elinta Motors

07/11/2022

LitCapital, a growth capital fund focusing on investments in high-growth enterprises, invested in Elinta Motors, which designs, develops, and manufactures turn-key powertrain components and battery systems for commercial vehicles.

Using their extensive background in engineering and electronics, ELINTA began working on the development of e-mobility solutions for electric vehicles in 2010, with the first prototypes of electric trucks introduced a few years later. In 2017, after receiving a positive response from the market participants, ELINTA transferred the invention’s intellectual property rights (IPRs) to the newly created company – ELINTA MOTORS. Ever since its inception, ELINTA MOTORS has been developing and improving its electric mobility offerings, not only enhancing the power and range but also showing extraordinary attention to the durability of its products. ELINTA MOTORS growth will be accelerated by the investment, which will further strengthen its position as an EV powertrain provider across multiple markets along with improving its current manufacturing capabilities.

“We believe that electric mobility is the way of the future, and the electric vehicles market offers plenty of opportunities for further developments and growth. By partnering up with our investors and making use of their knowledge and expertise in enterprise growth we’ll be able to further scale up the production and develop new products” said Laurynas Jokužis, CEO of ELINTA MOTORS.

Šarūnas Šiugžda, Founder and Managing Partner at LitCapital, commented: “The engineering talent of the ELINTA MOTORS and the innovative solutions that they have created astounded us from the very start. Furthermore, the increasing prominence of Electric Vehicles and the overall shift in mobility markets toward renewable energy have also played a key role in LitCapital’s decision to invest. We believe that the market is going to grow further and become more mature, with ELINTA MOTORS being positioned to utilize this opportunity to the fullest”.

ELINTA MOTORS is planning to triple its revenue in 2022 while at the same time maintaining a healthy double-digit EBITDA margin. Attracted funding will be invested in R&D, efficiency improvement solutions, and capacity expansion. The company has an ambitious business growth plan with the aim to become the market leader in selected market segments in the coming years.

Law Firm TGS Baltic advised the Investors and Trinity Jurex advised the Company during the investment process.

Horizontal Media completes acquisition of online classifieds portals Autogidas and Domoplius

12/10/2022

Horizontal Media (“HM” or the “Company”), which had recently received investment from LitCapital, today announces that it has completed its acquisition of online classifieds portals for automotive and real estate – Autogidas and Domoplius. It is expected that the transaction will increase the number of services offered by the Company, enhance customer experience, and strengthen its market position.

Together with the Company’s CEO, Per Moller, LitCapital invested in the closed joint-stock Company Horizontal Media. After the acquisition, the Company now manage online classifieds portals Autogidas and Domoplius as well as peer-to-peer (P2P) book trading platform Sena.lt.

“A devoted customer base, years of experience in digital product management, and an emphasis on providing high-quality services have all led to the conclusion that the platforms acquired have the potential for further grow. We are currently looking into making additional acquisitions that are comparable to those we have already made,” says Per Moller, CEO of Horizontal Media.

“Due to the highly competitive nature of the Lithuanian online classifieds market, we are under constant pressure to develop and implement innovative new services and functionalities for our users. Both Autogidas and Domoplius are well-known for being the second most popular option among local businesses and general population. The primary objective of online classifieds is to provide users with the highest possible quality of services. The expertise of investors in the digital marketing, along with additional financing, will make it possible to enhance the experience of customers more quickly, as well as to simultaneously expand product offerings,” says Evaldas Narbuntovičius, CEO of Autogidas and Domoplius.

Over the course of the transaction, the buyer was advised by the commercial law firm Walless. The seller was represented by the M&A advisory firm Oaklins, while legal advice was provided by Sorainen.

LitCapital invests in an online P2P/B2C market facilitator

18/08/2022

LitCapital, an independent growth capital fund focusing on investments into high-growth companies in the Baltic region, completed the investment in Sena lt UAB (Horizontal Media, “HM”) HM is currently managing a peer-to-peer (P2P) and business-to-customer (B2C) platform for used books in Lithuania and planning to execute an ambitious business plan aimed at growing the business via expansion into new products and services.

HM is currently developing the platform, with close to 130 thousand users. After the initial investment from the entrepreneur – Per Moller, a new strategy to grow through organic development with heavy emphasis on acquisitions was developed. LitCapital investment will be used to implement the plan.

HM intends to supplement the current platform with more sophisticated functionalities for its users and at the same time will expand into other business areas and new products like vertical classified advertisements segments. The fund’s investment will make it possible to strengthen HM financially, improve the quality of customer service and develop functionalities. It is expected that HM revenue in 2023 will reach EUR 4m.

“The changing market trends and increasing focus on the circular economy means that more products will enjoy a second even a third, fourth or more lives as people become more used to buying used products instead of new ones. Various online platforms that are ready to help people on this pathway are on the course to reap significant benefits. There are additional complementary business segments where we are going to expand. Some acquisitions are planned too,” said Per Moller, co-owner and CEO of HM.

Šarūnas Šiugžda, Founder and Managing Partner at LitCapital, commented: “Current market trends show that HM is very well positioned to function as a backbone for further market growth. That’s why we are glad to work with the company and Per Moller on the quest to become a horizontally integrated media group“.

Law Firm Walless advised the Company during the investment process.

LitCapital announces an investment into EV charging technology designer and manufacturer Elinta Charge

14/07/2022

LitCapital announces an investment into Lithuania-based award-winning electric vehicle (EV) charging technology designer and manufacturer Elinta Charge to support the expansion and development of state-of-the-art EV technology and the company’s vision of durable e-mobility.

Elinta Charge designs and assembles EV charging stations for commercial and residential use. The company provides charging stations for individuals, fleet managers, as well as operators of public spaces, offices, hospitality and other facilities in over 25 countries worldwide. By offering cloud-based software as part of the product, Elinta Charge provides a comprehensive, universal and durable EV charging solution. The company’s mission of enhancing the e-mobility infrastructure within cities without compromising the aesthetics and functionality received public recognition in 2018, when the CityCharge V2 station earned Elinta Charge the prestigious RedDot award for Product Design.

“While Elinta Charge has registered outstanding growth to date, the potential in the EV technology space is still far from tapped. With the growing support of individuals, businesses and regulators, electric vehicles are becoming an increasingly inevitable part of our daily lives. This is an exciting market to be in, and our focus on refined design and sophisticated technology offers a functional yet elegant solution, capable of meeting the needs of even the most discerning clients,” – comments Ignas Mikutis, Founder and CEO at Elinta Charge. “With the financial support of the investors, as well as their expertise and network, we stand ready to embrace the lucrative EV technology market opportunity, simultaneously improving green infrastructure within communities.”

“In addition to the outstanding achievements of Elinta Charge, and their ability to successfully navigate this technologically dynamic market, LitCapital’s investment is motivated by sustainable green mobility trends and the growing overall prominence of electric vehicles. We see high fragmentation within the European electric vehicle market, which is currently entering the consolidation phase. Considering solid market potential, coupled with our strong belief in the engineering talent of Elinta Charge and the outstanding product they have built, we are extremely glad to be able to join as investors,” – comments Šarunas Šiugžda, Founder and Managing Partner at LitCapital.

The investment will be used to expand the team and to bolster the company’s R&D and marketing capacity, thereby supporting expansion in new and existing markets as well as across product groups. The round proceeds will also be used to develop fast DC chargers, an inevitable leap forward for the company as a provider of EV charging technology. Further funding rounds are planned in the future.

LitCapital backs Ondato in its €3.6M seed extension to support rapid expansion of its Compliance-as-a-Service model

27/10/2021

LitCapital, along with previous round investors OTB Ventures and Startup Wise Guys, backs Compliance-as-a-Service startup Ondato in its €3.6M seed extension round, bringing the total amount raised by Ondato so far to €5.6M. Being experienced institutional investors, LitCapital will provide strategic support as the startup continues to scale rapidly. The funds will be used to expand the team with a focus on high-calibre hires to support new market expansion, product development and operations.

Ondato provides highest standard compliance tools to help its clients turn compliance into a competitive advantage. The company offers a multi-functional compliance management suite designed specifically for financial institutions, offering integrated solutions for identity verification, data monitoring, screening, due diligence, risk scoring, and case management, all under a single software as a service (SaaS) model.

“We have grown 4X in the last 10 months and substantially expanded our team size and range of services. The data shows us that there is a need to both deepen and widen the use of KYC services. The additional funds will help us sustain a pace of growth that has beaten our expectations. We are also excited to welcome LitCapital on board to enter our next expansion stage. With their backing as experienced institutional investors, we are well positioned for continued growth and a strong Series A in 2022,” said Liudas Kanapienis, co-founder and CEO of Ondato.

“Ondato has identified a unique opportunity in a booming market and successfully built and marketed a product that goes beyond what any other KYC provider has – a truly comprehensive compliance management software to financial companies making use of the latest technology. We are impressed with what Liudas and his team achieved during such a short period of time, and we are extremely happy to be able to work alongside them,” commented Šarūnas Šiugžda, Founder and Managing Partner at LitCapital, who is also joining Ondato as a Board Member.

Founded in 2016, Ondato has developed software enabling banking institutions to onboard new clients and manage other compliance functions. The company serves over 200 clients in more than 30 countries operating in fintech, banking, insurance, telecommunications, and other related sectors.

Ondato aims to use the additional backing to further focus on product development and customer acquisition in Europe and the US ahead of a planned Series A in early 2022.

LitCapital Becomes Signatory to United Nations-Supported Principles for Responsible Investment

11/10/2021

LitCapital, growth capital fund focusing on investments into high-growth companies, become a signatory to the United Nations-supported Principles for Responsible Investment (the “UN PRI”), as part of its ongoing commitment to Environmental, Social and Governance (ESG) issues. LitCapital acknowledges the investment implications of ESG factors and pursues in incorporating these factors into its investment decisions.

LitCapital believes that ESG management is critical to achieve sustainable development. Therefore, LitCapital actively promotes ESG practices within its portfolio companies by supporting internal ESG practices and encourages to enhance ESG capabilities. By joining the PRI LitCapital emphasizes its duty to act in the best long-term interests of its investors and seeks to participate in creating a more sustainable ecosystem.

Šarūnas Šiugžda, Founder and Managing Partner at LitCapital said: “LitCapital has incorporated ESG considerations into its investment process for a long time. Joining the PRI is to help promote this philosophy in the investment community worldwide. As a leading private equity investor, we strongly believe that it is necessary to set a standard for responsible investing.”

“With a strong emphasis on stewardship, and close contact between the GP and company management, private equity is naturally suited to responsible investment. A systematic and informed approach to identifying and managing ESG issues across the portfolio will protect, and can significantly enhance, investment value. Responsible investment is also a marker of the operational excellence of the fund itself, demonstrating transparent and strategic fund management,” as commented by PRI.

LitCapital joins over 4,000 existing signatories to the Principles for Responsible Investment, including asset owners, asset managers and service providers, who collectively oversee more than US$121 trillion in assets under management.

LitCapital led Series A funding round into tech-enabled services for cross-channel marketing reporting firm Whatagraph

29/09/2021

LitCapital, an independent growth capital fund focusing on investments into high-growth companies in the Baltic region, completed the investment in Whatagraph. Whatagraph is one of the fastest growing B2B Software-as-a-Service (SaaS) platforms for marketing analytics and social media reporting.

Launched in 2015, Whatagraph serves more than 1000 customers and has a well-diversified global subscriber base with substantial share of revenues generated in the US. The platform has already attracted the attention of international investors and has been maintaining a steady growth pattern. The investment will accelerate Whatagraph’s growth by financing a global expansion through customer acquisition and product development.

Fund’s investment is based on positive market drivers, including the increasing complexity in the digital marketing space and the pandemic-induced growth of e-commerce, among other factors. The global digital advertising market is valued at USD 350-400 million and is expected to grow.

Šarūnas Šiugžda, Founder and Managing Partner at LitCapital, commented: “LitCapital is supporting Whatagraph as the company pursues their vision of fast growth by creating and delivering a great product to its customer base. Whatagraph has all the qualities we look for in an investment, including a dedicated team with an entrepreneurial spirit and a strong competitive product position in a fast-growing market. Whatagraph has already demonstrated credible results. This is another example of a Lithuania-based business, which was founded and backed by an ambitious team.”