Sistema Venture Capital (Sistema_VС) is Sistema's fund focused on investment in growth-stage tech companies.
The fund was established by Sistema in 2016 and is focused on the Russian and CIS markets with the prospect of becoming a global VC player. One of the fund's co-investors is Sberbank. In 2017, Sistema_VC maintained its strong position in the Russian market and won the national award Venture Investor 2017 in the category “Discovery of the Year”. The fund's team reviewed over 700 projects and successfully closed eight deals (including follow-on investments). The fund is actively implementing its strategy of entering the international market: it opened an office in San Francisco and expanded its search for new projects to Europe and the United States.
Sistema_VC invests in growth-stage internet projects, including Communitainment and IoT, with strong unit economics, a high growth rate and potential of becoming an industry leader, and also in deep tech projects at earlier stages:
- artificial intelligence and machine learning;
- next-generation networks (SDN/NFV);
- cognitive technologies;
- virtual/augmented reality projects (VR/AR).
The fund has invested a total of about RUB 4.7 bn in various projects.
Key investment projects
One of the world's leaders in computer vision and machine learning. Its flagship product is a face recognition platform, VisionLabs LUNA, which allows analysing vast amounts of photo and video data in real-time mode to detect people's faces and run them against multimillion databases. The company's technological partners are Intel, Cisco, Facebook and Google.
Russia's oldest and biggest online store carrying over 4 mn SKUs. The number of its customers exceeds 18 mn people, with 750,000 daily visitors. The company is included in the annual Forbes ranking of Russia's most valuable internet companies.
An international company offering educational products based on VR/AR technologies. Its flagship product is a course for independent study of chemistry, MEL Chemistry: it comprises 38 kits for chemical experiments, a learning app and VR glasses that allow seeing chemical substances and crystals “from inside”. MEL Science kits are sold under a paid subscription model and delivered by post. At the end of 2017, Sistema_VC and its partners invested USD 2.2 mn in the project.
Develops instructive games with a scientific component based on VR technologies. The best known games are InMind and InCell, devoted to studying biology while playing. The company was set up by one of Russia's oldest game developers, Nival.
Russia's biggest programmatic platform, which uses machine learning technologies for targeting digital ads. Its solutions enable large businesses to interact with potential customers in any channel and boost their sales.
Russia's biggest online service connecting customers with service providers for performing household errands and business tasks. All providers are checked by the service and are assessed by users, which guarantees a high quality of their work.
New investments made in 2017
A developer of solutions for network functions virtualisation. NFWare develops network software for standard x86 servers that processes traffic as quickly as expensive specialised network equipment by leading manufacturers. The solutions are based on NFV/SDN technologies, which allow virtualising some functions of network infrastructure.
A subscription-based mobile app that enables users to book flights and hotels and rent cars at the lowest price available. For just USD 99 a year, users get access to the floor prices of over 800 airlines, 1 mn hotels and the world's top 40 car rentals. The application is available only to US users and targets frequent travellers.
A training platform for esports athletes and players of multi-player online games Dota 2, League of Legend, CS:GO, World of Tanks and Overwatch.
A platform for analysing data on users' financial transactions to determine their personalities and circumstances. Their profiles then can be used by financial institutions to choose the optimum channels of communication and offer personalised products.