June Edition 2021

40 Up against the COVID-19 pandemic that grounded Israel’s economy to a near halt for much of 2020, the country’s high-tech industry still managed to grow and earn a spotlight in the global investment arena. In total, 19 tech companies with connections to Israel went public — the most notable of which was next-generation insurance provider, Lemonade. A great amount of talent has spawned innovative cyber, AI and machine- learning companies. Mainstay sectors like cybersecurity continue to matter, is maturing and producing many fresh teams of founders. Fintech – an industry in which new Prime Minister Naftali Bennett achieved great success – remain popular, not to mention biotech. Many tech investors continue to make sure that Israel is part of their portfolio. They cannot ignore the hub of innovation that has produced global market leading companies and serial entrepreneurs in cutting-edge sectors. According to research by IVC, in 2020, privately held tech companies raised USD 9.93 billion (up 27% year-over-year) in 578 transactions. Late-stage companies raised USD 8.33 billion in funding (up from USD 6.51 billion), while early-stage companies raised USD 1.6 billion in funding (up from USD 1.3 billion). In the first five months of 2021, Israeli tech companies raised USD 8.6 Billion, already fast approaching the record USD 10 Billion raised in all of 2020. Last month alone saw an exciting string of transactions for Israeli- headquartered businesses. In May, e-commerce fraud prevention company Forter led the way, raising USD 300 million, at a company valuation of USD 3 billion. Financial management platform HoneyBook raised USD 155 million, at a company valuation of USD 1.1 Billion, and fintech company Sunbit raised USD 130 million, also at a company valuation of USD 1.1 Billion. Cybersecurity company Wiz raised USD 120 million. Looking at the Israeli landscape, even throughout COVID-19, it increasingly looks like Israel is on a trajectory to graduate from Start-up Nation into something where unicorns, IPOs, and large sustainable businesses flourish. Israel’s “Startup Nation” bona fides have been firmly established over the past decade. With a population of approximately nine million and home to Investment Climbing: Israeli tech companies raised USD 8.6 Billion in 5 months to May