Lithuanian fintech firm Kevin, which previously raised over $65 million from major investors like Accel and Eurazeo, has been declared insolvent by the Vilnius District Court, with IS Group designated as the insolvency manager, Sifted reports.
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According to Lina Nemeikaitė, assistant to the chairman of the Vilnius District Court, the court determined that the defendant is currently insolvent and unable to meet the financial responsibilities promptly.
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She further stated that the court has now opened a bankruptcy case and selected IS Group as the bankruptcy administrator.
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Accel and Eurazeo are the company’s main investors, having backed Kevin during its $65 million funding round. Both are renowned venture capital firms known for investing in high-growth technology companies. Accel, established in 1983, has supported startups like Facebook and Dropbox. Eurazeo's investment portfolio includes companies like Moncler (luxury fashion), Desigual (fashion), and Odaseva (cloud data management), spanning diverse sectors and showcasing the firm's commitment to supporting high-growth businesses.
Case details
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Vilnius-based tech company Kevin, which is building A2A (account-to-account) payment infrastructure, has been unable to pay its bills following a year of financial turmoil.
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In February, reports highlighted Kevin's two-month staff pay failure, with employees claiming mishandling.
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And in July, Lithuania's national bank instructed Kevin to not provide payment services to new clients until it complied with financial reporting requirements, citing the company's failure to submit timely accounting statements.
This incident emphasises startups' vulnerability to cash flow problems and the importance of timely accounting records. The company declared on LinkedIn that it intends to submit an appeal against the court's judgement.
