#Ukraine #Kyiv #Ukraine Reconstruction #Horizon Capital #Catalyst Fund

Horizon Capital's Catalyst Fund Achieves Major Milestone

Horizon Capital, a prominent private equity firm operating in Emerging Europe and managing $1.8 billion in assets, has made a significant stride by hosting the initial closing of its Catalyst Fund focused on reconstruction efforts in Ukraine. This fund has successfully accumulated over €150 million towards its ambitious €300 million goal in just six months since the fundraising was kicked off at the Ukraine Recovery Conference in Rome last July.

The Catalyst Fund is strategically designed to combat the acute capital shortage faced by vital sectors within Ukraine’s economy, specifically targeting investment in energy, digital infrastructure, and construction. By fostering minority investments alongside leading partners, Horizon Capital aims to bolster these crucial industries that are essential for the nation’s rebuilding efforts.

One of the core objectives of the Catalyst Fund is to mobilize a staggering €3 billion for Ukraine’s key sectors—an initiative that reflects a tenfold multiplier effect through the provision of reputable and initial catalytic capital to asset-heavy, locally-oriented enterprises. This endeavor aligns with the long-term vision of integrating global strategic partners and funds with esteemed local players to expedite their entry into the Ukrainian market.

The inaugural closing event took place in Davos at Ukraine House, coinciding with the World Economic Forum, and was attended by notable figures including Oleksii Sobolev, the Minister of Environment and Agriculture of Ukraine. The initiative has garnered support from prestigious institutions like the International Finance Corporation (IFC), the European Bank for Reconstruction and Development (EBRD), and several other key investors who have joined forces to make this vision a reality.

Lenna Koszarny, the Founding Partner and CEO of Horizon Capital, emphasized the significance of this milestone as it marks a pivotal moment not only for the firm but also for the Ukrainian economy during a tumultuous period. She noted that launching the Catalyst Fund is a critical move in their twentieth anniversary year and complements their ongoing commitment to Ukraine's economic recovery by raising over $1 billion for the nation in the past decade.

In his remarks, Dmytro Boroday, Partner and Lead for the Catalyst Fund, highlighted the fund’s commitment to developing fruitful partnerships with global investors. He expressed optimism about collaborating with leading Ukrainian entrepreneurs and management teams to foster the growth of scalable businesses in strategic economic sectors.

With plans to invest between €20 million to €50 million in growth capital per transaction, the Catalyst Fund aims to enhance the number of feasible ventures within Ukraine while facilitating significant co-financing opportunities. By offering catalytic equity, the fund aspires to increase mobilization across various sectors, eventually translating to approximately €3 billion in follow-up equity and debt investments, which will be crucial for facilitating Ukraine's recovery and reconstruction in the face of ongoing challenges.

Currently, Horizon Capital stands as a leader in Emerging Europe private equity, having invested in over 190 companies generating substantial employment for the local population. This current initiative underlines the firm’s unwavering commitment to supporting the restoration and advancement of Ukraine’s economic landscape.

The Catalyst Fund represents yet another chapter in Horizon Capital’s strategic investment initiatives, with an eye firmly set on the resilience and growth potential of the Ukrainian economy. As they navigate these turbulent times, the fund's launch is a beacon of hope intended to attract vital investments, allow for strategic expansions, and ultimately assist in rebuilding critical infrastructures essential for the nation’s future.

Through this initiative, Horizon Capital not only reinforces its status as a key player in the private equity domain but also sets a precedent for collaborative efforts in contributing to long-term investments in Ukraine's recovery. As the situation evolves, the Catalyst Fund is poised to empower local industries with the financial means necessary to thrive, recover, and prosper in the long run.