Three Croatian IT Companies Sold in Just One Week

After a prolonged period of crisis and slow growth, it seems that the Croatian technology sector is experiencing an investment boom once again. In just one week, three domestic technology companies have gained new foreign owners, indicating that investors are actively seeking and recognizing Croatian companies that are developing their software solutions.

The latest example is the Split-based startup SplxAI, which was acquired by Zscaler, an American company that specializes in protecting user devices and data in the cloud, and is a component of the global stock index Nasdaq 100.

AI has the greatest potential

By acquiring the domestic AI startup, Zscaler will expand its platform for the secure adoption of artificial intelligence. As explained by Jay Chaudhry, CEO, Chairman, and Founder of Zscaler, ‘AI brings immense value, but its full potential can only be realized when it is adequately protected.’ Kristian Kamber, CEO and co-founder of SplxAI, emphasized that they share the same vision with Zscaler, which is to address new security threats arising from increasing investments in AI infrastructure.

– By joining forces, we will integrate our innovation into one of the most reliable security platforms in the world and enable the protection of AI development at the pace at which companies adopt it – stated Kamber, who founded SplxAI in 2023 together with Ante Gojsalić.

SplxAI is, in fact, one of the first companies in the world to offer protection against the security risks posed by artificial intelligence, having also developed the first antivirus for AI chatbots.

In March of this year, SplxAI received $7 million seed investment led by the LAUNCHub Ventures fund, along with funds from Rain Capital, Inovu, Runtime Ventures, DNV Ventures, and South Central Ventures. Last year, the startup also received a $2 million investment from investors in the USA, Poland, and the Netherlands.

In addition to SplxAI, another Croatian startup focused on artificial intelligence has gained a new American owner. This is the startup airt, which was launched in 2019 by Davor Runje and Hajdi Ćenan, and last Wednesday was sold to the American company Synthpop – Healthcare AI, which is engaged in the development of artificial intelligence in healthcare.

Together, the companies will work on developing systems that automate clinical and administrative processes in healthcare institutions, while Airt’s co-founders Ćenan and Runje will take on leadership roles in developing advanced AI systems for healthcare.

One company went into Finnish ownership

Just three days later, the Croatian IT company Software Sauna was sold to the Finnish company Witted for software consulting, whose co-founder and director is Ilkka-Cristian Niemi. Witted stated that they are very familiar with the work of Software Sauna, having been with them since their inception in 2018, and Witted was a co-owner of Software Sauna throughout its development.

– It has been incredible to watch how they have grown from two enthusiasts with an idea into a team of 40 talented people. Now is the time for the next step, to become a Witted company – stated Witted, a company founded in 2016, which has been listed on the Helsinki Stock Exchange since 2022.

Software Sauna has, as they emphasize, built its success by providing services to Nordic clients, with a ‘Nordic approach’ and top developers from Croatia and the wider Balkan region. Witted and Software Sauna will now work together to assist a larger number of Nordic clients in digitalization.

– What is changing is that we have much more strength and support from a publicly traded company. The DNA and people of Software Sauna remain the same. We still believe in everything that has helped us get to this point and what will take us to the next levels with our new colleagues from the North – Niemi wrote in his LinkedIn post.

Three acquisitions, but also one liquidation

However, last week also marked the shutdown of one domestic IT company. CloudSense, a subsidiary of the London-based company of the same name founded in 2010, went into liquidation last week, thus ending its fifteen-year operation in Croatia. Although the company’s headquarters were in London, the Zagreb office had the most employees – around 130, while last year there were 75 employees.