Revealing the hidden company value

Revealing the hidden companyvalue

Fund 1 (LitCapital I, KUB)

LitCapital is a EUR 25 million growth capital fund established in cooperation with European Investment Fund (EIF) in 2010 under the JEREMIE initiative. LitCapital invests into growth of private SMEs in Lithuania. The fund is aimed at long term investments into private enterprises seeking faster business growth and expansion. Investment size varies between EUR 1-3.75 M, investment horizon is between 3 and 6 years.

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Total investments

0

In high-growth companies

Successful exits

0

Generated 3.2x cash-on-cash return and > 26% internal rate of return so far

We invest to drive growth and change

We invest to drive
growth and change

Fund 2 (LcX Opportunity Fund, KUB)

LcX Opportunity Fund is an EUR 34M size growth fund. It aims to invest in growing businesses and support their further development. LcX typically invests in either profitable or unprofitable business. If the business is unprofitable, it is expected that the loss can be justified by high scaling costs such as customer acquisition expenditures or other expenses aimed at accelerating company growth. LcX can provide fresh capital or acquire a minority or majority stake in the business. The Fund always works together with other shareholders and the management team to grow and improve the business.

LcX provides growth equity which adds substantial value to the portfolio companies. The Fund supports strategic and operational areas of the business, such as management and board recruiting, geographic expansion, acquisitions, revenue growth, operational efficiency, digitalization and financial management. The Fund succeeds when their portfolio companies succeed.

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Key Principles

  • We create and implement sound business expansion plan for each company;
  • We streamline business model in all companies. Here is a big value potential;
  • We use our extensive business network across Nordics and Baltics;
  • We actively work as Board members in all companies we invest into;
  • We pay our attention to the appropriate companies’ capital structure and efficient working capital management;
  • We add value from our industry experts;
  • We are long term investors and we don’t chase short term effects.

Formal Criteria

  • Growth capital for small and medium enterprises, Series A and B round financing for technology companies;
  • We invest in company expansion through issue of new shares and partial buyout;
  • Investment size per company – EUR 1-5.4 M;
  • Investment horizon – 3-5 years;
  • The Fund does not invest in agricultural businesses or socially irresponsible sectors (e.g. alcohol industry or gambling).

Qualitative Criteria

  • Clear and proven business concept;
  • Professional and reliable team of executives;
  • Well-grounded and professional business expansion plan;
  • Clear and well-grounded investment need;
  • Clear possibility to sell the business after 3-5 years.
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