Cobalt has advised Practica Capital on the launch of a new venture capital fund, Practica Capital Venture II, which will invest in Baltic innovation and technology-driven ventures, with EUR 15 million of public funds committed by Invega and the rest committed by Practica Capital and other local and international investors. Ellex reportedly advised Invega on the deal.
According to Cobalt, the new fund will focus on early stage venture capital investments in the Baltics and other Baltic-related ventures in Europe. It will also invest in neighboring EU and ventures from non-EU neighbors relocating to the Baltics. The fund will invest between EUR 200,000 to EUR 2 million in seed, early and select growth stage ventures.
Invega will invest in the fund through the Business Financing Fund, a fund of funds managed by Invega and stablished by the Ministry of Economy and the Ministry of Finance of the Republic of Lithuania and financed by EU Funds.
"The growth and strengthening of venture capital funds are one of the main drivers of the start-up ecosystem growth," commented Lithuanian Minister of Economy Virginijus Sinkevicius. "Besides funding needed for business launch and development, young and innovative enterprises will also receive additional knowledge and investor advice necessary for their growth. We expect this investment of public funds will encourage the venture capital fund to be less conservative and make bold investments into young and innovative businesses, especially in Lithuania.”
According to Practica Capital Partner Silvestras Tamutis, this is the third fund under Practica Capital management with a natural evolution towards regional Baltic-focus VC investment strategy and Lithuania as a prime target market.
The Cobalt team consisted of Partner Elijus Burgis, Managing Associate Eva Suduiko, Senior Associate Aurelija Balciune, and Associate Viktorija Dusajeva.
