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Even in Times of War: Strategic Advantages of the Ukrainian IT Market

Nazar Didyk


4 Min Read

Ukraine is attracting global attention for its high-risk, high-reward investment opportunities. Let's explore why Ukraine’s IT sector is a prime investment destination.

The Competitive Edge of Ukraine’s IT Sector

Talent Reservoir

Ukraine’s education system annually produces over 15,000 IT graduates who are well-versed in engineering and technology, providing a steady flow of skilled professionals to the industry. This deep talent pool is a cornerstone for businesses looking to bolster their technological capabilities.

Robust IT Infrastructure

Supporting this talent is Ukraine’s advanced IT infrastructure, which includes modern data centers, co-working spaces, and incubators that cater to the growing needs of startups and established tech companies alike.

Innovation at Competitive Prices

Known for their innovation and reliability, Ukrainian IT firms have carved out a reputation on the global stage, offering a spectrum of sophisticated technological solutions from software development to artificial intelligence, all at competitive prices.

Market Dynamics and Opportunities

The IT sector not only contributes significantly to Ukraine’s GDP through robust export activities but also demonstrates resilience by consistently attracting foreign investments due to its strategic ties with European and US markets. This export orientation enhances the sector’s stability and appeal, offering a fertile ground for investments.

Navigating Challenges

Investing in Ukraine’s IT sector does come with challenges such as wartime and economic variability. These factors necessitate a careful approach to risk management.

Investment Landscape

Investors can choose from a variety of channels to engage with Ukraine's IT sector:

Case Studies

Illustrative examples such as Euvic demonstrate successful global scaling facilitated by Ukraine’s IT capabilities, underscoring the practical benefits and real-world success of investments in this sector.


In 2023, despite economic uncertainties and wartime conditions, Euvic Group, a Polish IT conglomerate with 18 years of operation and a global workforce of 6,000, boldly entered the Ukrainian market and successfully executed four M&A transactions. The Euvic Group, which boasts over 30 IT companies and a combined turnover exceeding $230 million, strategically targeted the Ukrainian IT sector to diversify and expand its technological and client base.


The transactions focused on IT outsourcing companies with robust business models and included entities like Exoft, which specializes in software development across various platforms, and Artkai, known for its fintech and martech solutions. These companies were selected for their established market presence and significant client engagements in Europe and the USA.


7Devs, another notable acquisition, brought additional web and mobile development expertise to Euvic’s portfolio. Despite the complexities of operating during a crisis, these companies remained attractive due to their innovative capabilities and substantial foreign market operations.


The strategy employed by Euvic was not merely opportunistic but was guided by a vision of long-term partnership, where acquired entities retained their brand identity and operational autonomy, aligning with Euvic’s consortium model that has seen success in over 40 cases in Poland. This approach not only facilitated smooth transitions but also ensured that the acquisitions were not undervalued, respecting the established EBITDA multiples pre-crisis.


This series of acquisitions underlines the resilience and potential of the Ukrainian IT market, demonstrating that strategic foreign investments can thrive even in challenging environments. The successful integration of these companies into Euvic’s broader ecosystem marks a significant step towards replicating its successful Polish model in Ukraine, promising a robust future for both Euvic and the Ukrainian IT sector. MergeWave facilitated those transactions. Read the case study here.

Future Outlook

Looking forward, Ukraine is poised to continue its trajectory of growth with potential increases in foreign direct investments and tech advancements. Governmental support is expected to further enhance the business environment, encouraging more startups and fostering innovations that contribute to societal and economic well-being.


Ukraine’s IT sector is not merely surviving; it is thriving, driven by a unique blend of skilled manpower, innovative capacity, and extensive global integration. For investors ranging from seasoned veterans to those new to tech investments, the Ukrainian IT landscape presents ripe opportunities for substantial growth. Engaging with this vibrant sector means not only contributing to but also benefiting from its dynamic expansion and technological advancements.


Looking to invest or acquire in Ukraine’s dynamic IT sector? Let us guide you through the M&A process with expert precision. Tap into our expertise and secure your next successful deal.


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