Lead Ventures has announced the launch of its new €100M fund, targeting startups in Central and Eastern Europe (CEE), a region whose tech sector has been steadily growing in recent years.

Lead Ventures targets late Seed & Series A companies whose products and services have already been validated on the market and require substantial capital to drive their next phase of growth. The fund will offer investments ranging from €2M to €10M, providing a crucial boost to companies in strengthening their Product-Market Fit and expanding to new markets.

Lead Ventures’ previous successful exits include AiMotive, a leader in autonomous vehicle technology, which was the biggest exit in Hungary to date and Amodo, an innovative insurance technology provider. Among the existing portfolio companies, Cloudtalk, an AI-powered call center software provider, Antavo, a cutting-edge loyalty management platform, and Recart, a pioneering e-commerce messaging platform, stand out as advanced pioneers in their respective industries.

The CEE tech sector has seen exponential growth, with company valuations skyrocketing nearly 20-fold between 2010 and 2021. Notably, 2021 and 2022 saw the emergence of 23 new unicorns, surpassing the total number before 2020. The Baltic states and Poland have been particularly vibrant, showcasing a dynamic startup environment.

Investment in CEE startups increased from €2.65 billion in 2020 to €5.3 billion in 2022, with the Baltic countries and Poland leading the charge. Over the last five years, CEE has outpaced other European regions, including Scandinavia and the DACH region, in investment growth. Despite the increasing funding volume in the region, the Series A funding gap still exists. By addressing this funding shortfall, Lead Ventures aims to ensure that promising companies have access to the necessary capital to scale their operations and achieve substantial growth.

“Our investment strategy focuses on sectors with significant growth potential and technological innovation,” said Balázs Haszonics, CEO of Lead Ventures. “We are particularly interested in companies operating in the fields of mobility, finance, energy, IoT, sustainability and retail. Our goal is to build a robust portfolio that delivers financial returns and also drives positive societal impact.”

“We believe that the CEE region is rich in talent and innovation, making it a prime area for venture capital investment. Our new fund establishes a significant platform to support and develop these promising talents. By continuing our successful collaboration with co-investor financial and business partners, we aim to drive growth and create value in the region. Our committed team and extensive experience in business development and capital allocation will ensure we achieve our investment goals and foster transformative businesses.” added Balázs Haszonics, CEO of Lead Ventures.