Efforts are underway to attract private funding from venture capital funds and to follow the procedures necessary to ensure national security. Once these have been completed, the fund managers intend to present their next action plan and start implementing the measure.
"The threat posed by Russia and the ongoing war in Ukraine has created a strong need to strengthen our defence and security industry. By supporting Lithuanian arms manufacturers, we will strengthen a sector that is of great importance to Lithuania and will create conditions for our business to develop new and innovative defence products," said Aušrinė Armonaitė, Minister of the Economy and Innovation.
"We aim to fund dual-use technologies such as artificial intelligence, biotechnology, supersonic, space and other necessary technologies. We hope that by setting up two venture capital funds, we will also attract private investors, which will allow more products to be developed and produced," said Vincas Jurgutis, Vice-Minister of the Economy and Innovation.
According to Kęstutis Motiejūnas, CEO of INVEGA, the established venture capital funds will be focused on products or services with export potential that meet the needs of the European Defence Agency and NATO.
"The defence market is specific and competitive, but for Lithuanian companies and start-ups this is an exceptional opportunity to be among the most important global players in this field offering innovative solutions. This is especially true for businesses operating in the fields of IT and artificial intelligence, lasers, optics, cyber security, virtual reality. Investors will also be looking forward to teams and scientists with innovative ideas. By the way, night vision systems and drones developed in Lithuania are already in use in Ukraine," says Kęstutis Motiejūnas, CEO of INVEGA.
"MILInvest will operate through seed and venture capital funds. The pre-acceleration fund ScaleWolf Accelerator will run pre-acceleration and acceleration programmes, including training, mentoring, lectures on company creation, team building, legal, fundraising and other issues, and expert advice from experts in the defence industry and technology. The Fund will support both individuals and companies with innovative business ideas, and will also provide small investments.
ScaleWolf VC will invest in existing micro, small and medium-sized enterprises which develop, manufacture or provide defence and/or dual-use (military and civil) products or services.
