Schneider Electric Bids €1.2 Billion for Bulgaria's Shelly Group

Schneider Electric has agreed to acquire Shelly Group, the Bulgarian smart home and IoT device maker, in an all-cash deal valuing the company at €1.2 billion. The French energy technology company will pay €70 per Shelly share it does not already own — a 27% premium to Shelly's reference price of €55.20.

Founders Dimitar Dimitrov and Svetlin Todorov together hold about 57% of the company. The voluntary tender offer carries a 95% acceptance threshold and requires approval from Bulgaria's Financial Supervision Commission and competition regulators. Closing is expected by the end of Q1 2027.

The deal anchors a week of outsized transactions across Central and Eastern Europe.

CVC takes a minority stake in CDN77 at near-$2 billion value

Prague-based internet infrastructure provider CDN77 has sold a minority stake to CVC Capital Partners. The companies did not disclose financial terms, but a source told Reuters the deal values CDN77 at around $1.9 billion (€1.7 billion).

Founder and CEO Zdenek Cendra keeps his majority stake and stays on as CEO. Founded in 2011, CDN77 runs a network of more than 230 locations worldwide with 330 Tbps of capacity and has been cash-flow positive for 11 consecutive years. The company reportedly targets about $270 million (€250 million) in revenue this year, up from $218 million (€201 million) in 2025.

FintechOS raises $28 million after reaching profitability

Romanian-founded FintechOS has secured $28 million (around €26.5 million) in combined equity and debt financing. Bek Ventures, IFC, Cipio Partners and Molton Ventures provided the equity, and Santander CIB added a senior debt facility.

FintechOS builds an AI-native layer that helps banks and insurers modernise legacy core systems. The company reached profitability in the first half of 2026. The new capital will fund its US expansion — where the business grew 130% over the past year — and consolidation in Europe. FintechOS has raised nearly €170 million since its founding in 2017.

mika raises €6 million seed for German SMB accounting automation

mika, co-founded by Polish entrepreneur Agnieszka Walorska, has raised a €6 million ($6.85 million) seed round led by Smedvig Ventures. Wecken & Cie. (through Care4 AG), Keen Venture Partners and Dutch Founders Fund also joined, along with angels including studiVZ co-founders Dennis Bemmann and Michael Brehm.

Founded in 2024, mika automates bookkeeping, VAT returns, annual accounts and tax filings for German limited companies, with in-house accountants reviewing the AI's output. The startup now serves more than 750 German GmbHs and UGs, up from 400 at the start of the year, and passed a €1 million annual revenue run rate in July.

Estonian Defence Forces sign three-year agreement with Archangel

The Estonian Defence Forces have signed a three-year cooperation agreement with Archangel, a venture fund founded in 2025 that backs early-stage defence tech founders from the UK, the Baltics and the Nordics. Major Ivo Peets, commander of the EDF's Force Transformation Command, and Archangel founder and managing partner Nicholas Nelson signed the agreement at the ABCD Conference.

The two sides will share information and contacts between the military, defence startups and investors. Portfolio companies will also test their solutions in Estonia. Archangel's portfolio includes Kraken Technology Group (uncrewed maritime systems), Labrys Technologies, Project Q, LYSK, Offset Labs and Sky Spy.

Forty.5 Ventures closes $30 million debut fund for Southeastern Europe

Forty.5 Ventures has closed its debut fund at $30 million to back pre-seed and seed founders in Southeastern Europe. Tickets will range from $200,000 to $1 million, with a focus on vertical AI, fintech, cybersecurity and consumer tech — including gaming, sports, media and creator economy infrastructure.

The firm operates offices in Belgrade, Los Angeles and Singapore. Its LPs are family offices, angels and operators from Europe, the US and Asia Pacific. Forty.5 was set up in 2020 and has operated as a studio and investor since; its existing portfolio includes qooob, OTLRS, Arena+ and ANDEIM.

Between a nine-figure exit in Bulgaria, a $1.9 billion infrastructure valuation in Prague and fresh defence and seed capital flowing into the region, the week signals that CEE tech companies are increasingly commanding prices — and strategic attention — on par with Western European peers.