Snap general elections, the future of CEE Investments and Insights

Dear Antenna Friends,

Welcome to our latest newsletter, packed with fresh updates and insights to keep you informed and inspired.

A Snap Decision: The UK's General Election

The UK is buzzing with political activity with the announcement of a snap general election on Independence Day. This unexpected move surprised many people, stirring up debates and discussions about the country's future direction. What does this mean for the broader economy? Is there a major event brewing we don’t know about?

Many are predicting an overturn in control, but to call an election now, we can only assume Rishi has a plan. Whatever happens, it promises to be a significant event with potential ripple effects across Europe, so we'll keep a close eye on the developments in the coming months.

In brighter news:

Highlights from Prague: Zero 100 Conference

I was privileged to speak at the Zero 100 Conference in Prague in May. The event was a remarkable gathering of industry leaders and innovators focused on exploring the future of investment in CEE and how to deliver sustainable growth.

My panel focused on "FOs & HNWI Boosting their Commitments to Venture Capital in CEE", which I thoroughly enjoyed. It was inspiring to engage with so many high quality professionals in one event.

We discussed the growth in locally based VC funds targeting the area, how they are building their portfolios, international ones expanding to the region, and how they attract capital from domestic and international investors, including support from institutions such as HDBI, which backs VC managers.

Many of the Family Offices on the panel were actively seeking to invest in CEE both through LP commitments and direct investing, which is fantastic to see. We look forward to attending future Zero 100 events.

The Pace of Media Innovation

In today's digital age, media is more than just a means of communication; it's a catalyst for change and a driver of innovation. Media startups from London to Berlin to Warsaw are redefining content consumption, creation, connectivity, and our perception of reality.

In 2023, the global Extended Reality (XR) market was valued at $57.3Bn and growing at 39.8% CAGR, giving a market size just shy of $600Bn by 2030.

Technological advancements and increasing consumer demand for immersive experiences fuel this rapid growth. XR allows users to walk through events as active participants, revolutionising how we interact with media. Imagine exploring the Acropolis and then a virtual Coldplay concert with a personalised perspective without stepping outside your living room. The fusion of immersive technologies and creative storytelling opens new possibilities for content creators and consumers, signalling a dynamic shift in the digital landscape. ADV is actively investigating the XR space, so enquiries from XR growth businesses are welcome.

Baby Reindeer are expensive

Exploding onto the scene, Netflix's Baby Reindeer has become an instant and huge success. The series follows the "true" story of a struggling comic being relentlessly stalked. The alleged victim, Richard Gadd, wrote and performed it, but the "truth" is being questioned.

The self-identified inspiration for the stalker character has just filed a $170m lawsuit against Netflix for damages, loss of earnings and defamation.

She alleges that Netflix took no steps to substantiate or ideally verify any of the series' claims and that those failings have had significant adverse effects.

What does this mean about the ability to make content? How will a story be policed and verified to pass and be aired?

As the old saying goes, "Never let the truth get in the way of a good story"—Mark Twain, but maybe those days are over.

A quick reminder of what we do at ADV:

ADV works with exceptional consumer-facing digital scale-ups looking to expand into new markets. We are a Greek Single Family Office that owns major media organisations across Greece and Central Eastern Europe and has a strong track record as investors and operators.

We leverage our media assets and balance sheet to assist companies in expanding into the region, offering media support, expert personnel, and capital. This support is designed to help you succeed in a region that might otherwise go unconsidered despite its potential reach of 120 million digitally enabled, mobile-first consumers.

We're looking for outstanding companies with a proven track record of customer success in the UK, US, or Western Europe. If your company is ready to seize this opportunity, tap into 120 million additional customers, and become the top choice in CEE, we want to hear from you.

For further info on what we do, click - HERE.

What opportunities does CEE offer?

Unfortunately, we still can't find a reliable crystal ball, so take our comments with a pinch of salt. We asked, "What is the future of CEE?"

As we travel Europe, the UK, and the US in search of exciting investment opportunities, we have the privilege of talking to many brilliant investors. The word on the street has been increasingly focused on emerging regions such as LatAm and CEE.

CEE is becoming increasingly attractive, with nearly a quarter of global investors saying the region provides the best emerging market opportunities.

A report from Bain & Co highlighted the region's attractive investment profile, characterised by a well-educated, low-cost labour force and robust economic fundamentals. With its GDP of €1.9 trillion, the CEE region offers substantial headroom for growth compared to Western Europe, making it a compelling destination for investors.

Now, bearing in mind what Maslow said, "If the only tool you have is a hammer, it is tempting to treat everything as if it were a nail" Maybe the answer to all of our questions is not CEE, but on this occasion, it very much feels it might be.

The entrepreneurial spirit and opportunities have also grown significantly, and many more people are talking about the outsized returns the region presents.

We remain excited and bullish about the CEE opportunity.

🚀 Interesting Insights:

• PayPal Grows a New Ads Business - PayPal has joined the ever-growing list of companies with a new offshoot advertising business, announcing on Tuesday that it hired a former Uber ads boss, Mark Grether, to run it. It's not the only payment company that got into the ad game, but it is going bigger than its compatriots by working with advertisers who don't even use PayPal.

• Top 10 FOs to know? - We were honoured to be named in the recent article by The Recursive, as 10 Family Offices from CEE you should know" Thanks very much to The Recursive for selecting us, very kind 😁

• Greece is the fastest-improving Business Environment - According to the Economist Intelligence Unit, Greece is the fastest-improving business environment globally. The country climbed 28 spots to top the list of countries making the most significant progress in enhancing their business climates. This improvement is attributed to pro-business government reforms, tax cuts, and initiatives to boost business confidence. ​​

• The power of perspective - Here is another insight from Rory Sutherland, Vice Chairman of Ogilvy UK. It is helpful to remember the outsized impact of small, creative changes. Bicycle thefts plagued Eindhoven. Instead of expensive CCTV, they painted all bicycles in bright, unique colours. This simple change made the bikes harder to sell and easier to spot, drastically reducing thefts. Founders and marketers, we urge you to seek out small, innovative tweaks to deliver significant improvements.

If you have any thoughts or questions or want to chat, hit reply—we're all ears.

Wishing you at least a hint of sun in the sky (coming to you from wet England).

Cheers,

James and the ADV Team

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