International AI giant acquires Ukrainian startup StepShot with annual revenues over $500k
Romanian-American IT company UiPath, offering software to automate routine business processes using computer robots, acquired Lviv-based startup StepShot.
The terms of the transaction have not been disclosed, however, according to the details that the founders of the startup shared with AIN.UA, part of the amount was paid by UiPath in cash and part in the form of equity.
What is StepShot
StepShot specializes in automated process documentation. The company offers technology for monitoring user actions, which allows customers to save clients’ time and accelerate the achievement of the desired result.
Before the acquisition, StepShot’s MRR exceeded $40,000 (with revenues over $500,000 in the past year alone). Today, the startup boasts about a hundred clients, including large global market players.
The startup was founded in 2016 by two families: spouses Oleksandr Reminnyi (CEO) and Olga Reminna (COO), and brothers Denys (CTO) and Borys Korobeinikov. During the first year of existence, Borys left the project.
What is UiPath
UiPath is one of the largest companies in the global artificial intelligence software market and the global market leader in Robotic Process Automation (RPA). It is one of the most successful technology startups in history (as of April 30, the company received $1 billion in investments and is valued at $7 billion in total).
UiPath was founded in Bucharest back in 2005, but in 2017 moved its headquarters to New York. Today, the company has 32 offices in 23 countries. UiPath employs around 3,000 people.
Why UiPath acquired StepShot
UiPath acquired StepShot, which operates in a similar industry, with the goal of expanding its software package. The takeover will enable UiPath to automate customer processes even more efficiently. With the help of robotics, the company seeks to rid humanity of the monotonous tasks that require a lot of time and effort, and do not bring any pleasure.
“We are delighted with the market benefits that StepShot will provide to the world’s largest community of RPA users,” comments PD Singh, UiPath Vice President of Artificial Intelligence.
What is going to happen with StepShot after the takeover
StepShot plans to continue working on its existing product, although under the flag of UiPath.
A startup team of 20 people will remain in the company. Two of the co-founders – Oleksandr and Denys – will continue to work at UiPath, where they will be responsible for the leading product development of the existing product. Olga will coordinate the integration process of the two companies and after its completion, she will leave the company.
Does it mean that UiPath will get an office in Ukraine?
Yes. Relocation of the team is not planned – instead, UiPath will now have its R&D in Lviv based on the Ukrainian office of StepShot.
For the record, being a part of an international company StepShot intends to actively expand the team and recruit new in-house developers.
“UiPath itself is very interested in actively expanding the existing team in Ukraine in the near future and has already announced the first vacancies for its Ukrainian office,” sources from startup told AIN.UA.
What do investors of StepShot say
StepShot previously went through acceleration at Startup Wise Guys. It is noteworthy that the accelerator residents are startups from 40 countries, however, one of the two official exits falls on Ukrainian startup.
“From its early days Startup Wise Guys had a motto: create your own business for customers, not investors. StepShot is a bright example of this way of thinking. The company was founded in 2016, and in the same year it got into Startup Wise Guys, having received its first investments in the program. From the first days, the team was obsessed not with raising the next round of financing, but with the creation of a growing and profitable business, Cristobal Alonso, managing partner and CEO of Startup Wise Guys, on exit of Lviv-based startup.
– For the accelerator, Startup Wise Guys, it was the third exit of the portfolio company. The first to exit, back in 2016, was the Estonian company VitalFields, working with agricultural technologies. Given that the accelerator’s portfolio includes companies from more than 40 countries, we are proud that the third company to exit was a company from Ukraine because this country has been one of the main strategic markets for some years now. And we were not mistaken.”