Yandex acquired the Sovetnik application by Metabar, Runa Capital portfolio company
Sovetnik is a browser extension that helps users find the best offer for online shopping. The application is powered by Yandex.Market data and Metabar technology. Sovetnik notifications appear when a person chooses an item in an online store. The application analyzes the content of the page that the user is viewing, and shows multiple choice of on-line marketplaces where one can buy the same product with the best options – by quality of additional services and price. Sovetnik is now used by more than two million people in Russia.
«Sovetnik provides a hint instantly, in the right place, and at the right time. People do not have to figure out where to make a purchase,» says Alexander Feoktistov, Head of Yandex.Market Marketing about the deal. «Sovetnik technology is not only applicable with shopping for goods. We plan to use it to assist users in other services where best offer is important, for instance, airplane tickets search.»
Runa Capital fund invested $1 million in Metabar in 2011. Metabar team invented Sovetnik in 2013 and decided to pivot and focus on this project and the business around it. Runa Capital reports that the Yandex acquisition deal provided a multiple return on investment.
«We are happy with this exit for several reasons. Firstly, Metabar/Sovetnik was one of our first investments from the first Runa fund. Secondly, this is our first and a very profitable exit in Russia, in addition to the four exits abroad,» said Dmitry Chikhachev, managing partner of Runa Capital. «Thirdly, another globally known IT-brand adds to a list of acquirers of Runa portfolio companies.»
«With Runa Capital support Metabar team developed a succesfull, profitable and fast-growing business.” – says Metabar/Sovetnik co-founder Michael Ushakov. – “We are happy to bring Runa it’s first exit in Russia. Our next step is to scale the Sovetnik service to help Yandex users get the best offers available online».
The application will be managed by the same team as before – almost everyone has moved to Yandex. Yandex will continue to develop Sovetnik as a recommendations service.
The purchase of Sovetnik by Yandex became the fifth exit of Runa Capital from investment and the first exit in Russia. The fund had previously made 4 exits: ThinkGrid was acquired by Colt Technology Services in August 2012, StopTheHacker was acquired by CloudFlare in February 2014, Capptain was acquired by Microsoft in May 2014, and BackupAgent was acquired by Acronis in September 2014. In mid-2014, Runa Capital announced the launch of a second fund, with a target size of $200 million, since then the second fund made several investments in US and Europe.