Page 11 - bne_Tech_02_2020

Investment
February 2020 www.intellinews.com I Page 11
Unicorn with Russian roots Arrival gets UPS investment
The logistics major UPS has bought into the UK- based e-car start-up Arrival of Denis Sverdlov, pre-ordering 10,000 vehicles, ex-head of telecom operator Yota and ex-Deputy Communication Minister Sverdlov told Vedomosti daily.
As reported by bne IntelliNews, South Korean Hyundai and Kia car majors have invested €100mn for 3.33% in Arrival, with the total valuation of the company at €3bn, adding to the number of deals for tech unicorns with Russian roots.
UPS contract is for 10,000 e-trucks by 2024, with the contract to be extended after. The amount
of the equity investment is undisclosed, but the Guardian estimated it at €400-600mn.
Arrival develops hardware and software technologies for second-generation e-car models with scalable local production and assembly models. The vehicles by Arrival were tested by the Royal Mail, UPS and DHL, with the first units to be produced in 2021.
Other investors in Arrival include the Gemcorp fund, controlled by ex-head of VTB Capital and the top manager of Goldman Sachs and Merrill Lynch Atanas Bostandzhiev.
Insight Venture Partners acquires Veeam Software
The US investment fund Insight Venture Partners has bought Swiss-based Veeam Software, founded by Russians Andrei Baronov and Ratmir Timashev, at a valuation of $5bn, with the deal to be closed in 1Q20, Vedomosti daily reports citing the representatives of the company.
As reported by bne IntelliNews, cybersecurity software company Acronis became the second IT unicorn with Russian roots in 2019, following the acquisition of Luxoft by DXC Technology for $2bn.
Veeam's HQ will be moved to the US following the deal. The company develops solutions for back-up storage, data recovery, protection, security and cloud storage, with over 365,000 clients in 160 countries, 30 offices worldwide and an annual top line of over $1bn.
Previously Veeam had raised $500mn from Canada Pension Plan Investment Board (CPPIB) in the beginning of 2019 and had secured undisclosed investment of Insight Venture Partners in 2013.
In 2019 the company was valued in the range of $3.6-4.3bn, but the deal value has exceeded these expectations. Analysts surveyed by Vedomosti believe that the founders of Veeam could have kept a 50% share.
As reported by bne IntelliNews, Russian venture capitalists are more focused on foreign projects. Investment abroad with Russian VC participation amounted to $860mn in 1H19, beating the volume of domestic investment of $248mn by three and half times.