July 23, 2017 | The Blackstone Investment Fund is in negotiations to acquire 40 percent of Israeli mobile surveillance company NSO Group for $400 million, which would put NSO’s valuation at $1 billion, acoording to a Calcalist report. NSO’s spokesman Zamir Dahbash tells NoCamels that the company can’t confirm the story. Founded in 2009 by Omri Lavi, Niv Carmi, and Shilo Julio, NSO is known for developing the “Pegasus” malware programs that were said to be responsible for a sophisticated smartphone attack against UAE human rights activist Ahmed Mansoor. It has raised $1.6 million in seed funding. Blackstone (along with the Clear Sky Fund, which will acquire 10 percent of NSO) will purchase the shares from Francisco Partners, who acquired the startup in 2014 for $130 million.
News Briefs
Report: Blackstone In Talks To Buy 40% Of NSO For $400M
‘Accelerator Frankfurt’ Picks 2 Israeli Startups
July 23, 2017 | Accelerator Frankfurt, a German startup hub that helps startups with investment and business development, completed its second wave with seven companies – two of which are Israeli: Adjesty, a startup that uses cloud-based machine learning to detect and stop undesirable ads; and AeroPlan, a company that provides travel and medical assistance from service providers. They recently pitched their businesses to 200 investors and potential stakeholders along with five international companies. Accelerator Frankfurt provides an acceleration program that condenses two years into four months full of mentoring, coaching, office space, and professional services. It focuses on fields like cyber-security, Blockchain, InsureTech, and FinTech. [photo: Thomas Babut]
Israel’s Camtek Sells Business Unit For $35M
July 23, 2017 | Camtek, an Israeli company that manufactures inspection systems to improve manufacturing of semiconductors, circuit substrates, and printed circuit boards, has signed an agreement with an affiliate of the Shanghai-based private equity fund Principle Capital. Under the agreement, Camtek will sell its printed circuit board (PCB) business for $35 million, shifting to focus solely on semiconductor inspection. The PCB business will remain intact, and is expected to continue to run its R&D operations in Israel. Founded in 1987 by Iris Hirsch, Camtek has been listed on the NASDAQ since 2000, and on the TASE since 2005.
Spreadsheet Startup DataRails Raises $6M
July 20, 2017 | DataRails, an Israeli startup that is upgrading Excel into a smart organizational tool for businesses, has completed a $6 million series A funding round, led by Vertex Ventures. Founded in 2015 by Didi Gurfinkel, Eyal Cohen, and Oded Har-Tal, DataRails is a cloud platform that allows businesses to more efficiently manage, organize, and share data on Excel. The company plans to use the investment to improve product development, develop a worldwide customer portfolio, and establish offices in New York. The latest round brings DataRails’ total funding up to $7 million.
Israeli Startups Raise $1.3B In Q2
July 20, 2017 | Israeli startup and high-tech companies raised $1.3 billion in the second quarter of 2017 – the second largest amount in five years, according to a report by IVC Research Center and ZAG S&W International Law Firm. Similarly, the average financing round hit $8 million which is second only to the exceptional second quarter of 2016, when the average was $8.8 million. These record-setting numbers were attained because deals above $20 million rose in 2017’s second quarter with 21 deals accounting for 55 percent of the total amount. The life sciences sector is responsible for raising the most capital during the first half of 2017, with a whopping $622 million. Venture capital-based deals attracted more capital than usual, up 12 percent from the quarterly three-year average.
Israel-UK Fund BIRAX Completes £7M Investment
July 20, 2017 | The British Council and British Embassy in Israel have announced the achievements of the multi-million-pound program BIRAX (Britain-Israel Research Academic Exchange), which develops scientific collaboration between Israel and the UK. Launched by the prime ministers of the UK and Israel in 2011, BIRAX has brought together more than 1,000 scientists from 120 institutions, and resulted in breakthrough research published in 30 leading scientific publications. The report on the five-year program shows that the fund has invested £7 million in 15 joint research projects in the field of regenerative medicine.
Capital Growth Fund Qumra Raises $115M
July 20, 2017 | Qumra Capital, an Israeli capital growth fund, has raised $115 million for a new fund called Qumra Capital II. Founded in 2012 by Boaz Dinte, Sivan Shamri, and Erez Shachar, Qumra Capital provides venture funding for late-stage technology companies that are seeking to boost sales and marketing. The funds were derived from Qumra I investors, and they will be used to provide investments in Israeli companies to come. So far, Qumra Capital has raised $215 million.
Israel’s Pitango Set To Profit From Skycure Deal
July 19, 2017 | Israeli venture capital firm Pitango Venture Capital is set to profit significantly from Symantec’s $250 million acquisition of Israeli mobile security startup Skycure. One of Israel’s leading venture capital firms, Pitango has a 31 percent stake in Skycure and has been an investor in the company since its seed stage. Pitango was founded by Rami Kalish, Aharon Dovrat, Chemi Peres and Habib Hazzan. It has raised $1.97 billion since its inception in 1993. The acquired startup, Skycure, is an Israeli company that protects against mobile cyber-attacks; it was acquired by Symantec earlier this month.
Algomizer Raises $11 Million
July 18, 2017 | Algomizer, an Israeli startup that creates online marketing tools for small to midsize companies to advertise efficiently, has raised more than $11 million. Founded in 2013 by Aviv Berkovich, the company began to be traded on the Tel Aviv Stock Exchange in 2014. Forbes recently ranked Berkovich as one of Israel’s most promising young people. The influx of funds from various investors will be used to acquire a private Internet advertising company.
Therapix Biosciences Partners With CURE Pharmaceutical
July 18, 2017 | Israel’s Therapix Biosciences, a pharmaceutical company dedicated to the development of medicinal marijuana, has signed a memorandum of understanding (MOU) with CURE Pharmaceutical to enter a research collaboration with Assuta Medical Center, Israel’s largest private medical services center. The companies will collaborate to advance, research, develop and commercialize potential therapeutic products in the fields of personalized medicine and cannabinoids. Therapix Biosciences is a publicly traded company founded in 2004 and is headed by CEO Elran Haber.
Symantec Buys Mobile Security Startup Skycure
July 17, 2017 | The multinational cyber security company Symantec is acquiring Israeli startup, Skycure, which predicts and protects against mobile cyber-attacks without jeopardizing user privacy. Terms of the deal were not disclosed. Using crowd intelligence and machine learning, the startup’s technology defends against malware, network-based threats, and external and internal attacks. Founded in 2012 by Unit 8200 veterans Adi Sharabani and Yair Amit, the startup has raised $27.5 million in three funding rounds to date.
Israeli Startup Rapid Medical Raises $9M
July 17, 2017 | Rapid Medical, an Israeli company that develops neurovascular interventional devices, raised $9 million in a Series B financing round. Founded in 2008 by CEO Ronen Eckhouse and Chairman of the Board Shimon Eckhouse, Rapid Medical is seeking to further commercialize TIGERTRIEVER Revascularization Device and the COMANECI Adjustable Remodeling Mesh, products which provide prevention and minimally invasive stroke treatment. Israel’s BRM and China’s Shanghai-Israel Investment Fund led the round, while Winnovation and Gefen Capital participated. [Photo: Courtesy]
Car Sales Startup Vroom Raises $76M
July 17, 2017 | Vroom, an Israeli online platform for automobile retail, announced a $76 million series F funding round led by T. Rowe Price Associates, L Catterton, General Catalyst Partners and PICO Venture Partners. Since its founding in 2013, Vroom has raised $295 million. It is currently led by CEO Paul Hennessey, with R&D operations in Israel. [photo by Emilio Labrador]
Toyota Invests $14M In Intuition Robotics
July 16, 2017 | Israeli robotics company Intuition Robotics has raised $14 million in a Series A round led by Toyota Research Institute. Founded in 2015 by Itai Mendelsohn, Dor Skuler, and Roy Amir, Intuition Robotics has developed a robot companion that uses artificial intelligence to improve the lives of the aging population. Named ElliQ, the small tabletop robot can suggest content to watch, give reminders about appointments, and set up chats with friends, among other functions. In total, the company has raised $22 million in three funding rounds.
Genetic Data Firm Genoox Raises $6M
July 16, 2017| Genoox, an Israeli genetic data analysis startup, has raised $6 million from Inimiti Capital Partners and Glilot Capital Partners. Founded in 2014 by CEO Amir Trabelsi and CTO Moshe Einhorn, Genoox created software that uses machine learning to analyze genetics and predict diagnoses. The software thus accelerates data interpretation, allowing clinicians to develop actionable insights more quickly. The company already has a strong presence in Israel and the UK; the funding will be used to expand in the US.
