iAngels Israeli Deal Digest – June 2020

Welcome to the iAngels Monthly Deal Digest, a summary of corporate developments in the Israeli startup market. 

This June we tracked 27 announced deals totaling approximately $560 Million, and 8 exits worth over $1.5 Billion

IT & Enterprise Software and Life Sciences were the two top-performing sectors this month. Pagaya, an alternative asset manager utilizing data-driven investment techniques in the fixed income and alternative credit markets, raised $102m from a variety of international and Israel-based VCs, including Aflac Global Ventures and Viola Ventures. SQream, a provider of a data analytics, acceleration platform, that enables enterprises to gain insights from their massive data stores, raised $39.4m in Series B+ funding led by Mangrove Capital Partners and Shusterman Family Investments. Kitov, a clinical-stage company that advances therapies to overcome tumor-immune evasion and drug resistance in order to create successful, long-lasting treatments for patients with hard-to-treat cancers, raised $35m from healthcare-focused institutional investors.

On the M&A side, we tracked one major deal in the IT & Enterprise Software space. Spotinst (Spot), which revolutionizes the way companies consume cloud infrastructure services, using analytics and automation to deliver cost-efficient infrastructure in the cloud was acquired by NetApp for $450m. Looking at Initial Public Offerings (IPO), we tracked the largest deal being Vroom, a used car retailer, and e-commerce company that enables consumers to buy, sell and finance cars online, which IPO’d on the Nasdaq raising $468m from its public offering. 

June 2020 Investment Highlights

Seed Rounds

 

  • Opora, a company creating the next generation of Cyber Threat Intelligence technologies, raised $7m in seed funding from JVP and a consortium of private investors.
  • Hunters.AI, the first autonomous threat hunting solution, searches attack techniques, and finds cyberattacks that bypass existing security solutions, raised $5.4m from YL Ventures and Blumberg Capital.
  • Agamon, a solution that combines an advanced approach to NLU with a deep understanding of medical reports, raised $3m in seed funding from MMC Ventures, InHealth Ventures, Seedcamp, and Bayer G4A to help hospitals improve its processes by transforming clinical text into structured data.
  • ADAM CogTech that develops technology that can identify a driver’s cognitive state has raised $2m from Mobilion Ventures, backed by the Mitsubishi Corporation and Delphi Technologies.
  • InfiniDome Ltd., the GPS Security Company, announced a closing of $1.6m in Seed round funding and the opening of its Pre-series A round. Investors participating in the Seed round include Boundary Holding of India and Luxemburg, Next Gear Ventures of Israel, and Aston Partners of New York.
  • CENS, which utilizes nanotechnology to increase the electric vehicle (EV) battery’s energy capacity while heavily reducing recharging time, announced that they landed a $1.5m investment led by British-Iranian investor Vincent Tchenguiz.
  • Pudding.AI, an AI-backed solution that offers data-sourced insight for marketing personnel to create better and more educated social media campaigns, has received pre-seed funding of $500k from Nielsen Innovate Fund. 

 

A Rounds

 

  • Salt Security, Israeli-founded API cybersecurity company, has raised $20m in a Series A funding round led by Tenaya Capital, a US-based venture firm.
  • Upsolver, an easy-to-use service for turning event streams into analytics-ready data with the scale, reliability, and cost-effectiveness of cloud storage, raised $13m from Vertex Ventures and JVP.
  • Spike, which developed a mobile application that puts existing emails into a multimedia mobile messaging, chat-like interface enhanced with voice and video calls, raised $8m in a Series A round led by New York-based venture capital and private equity firm Insight Partners.
  • ECOncrete, an Israeli engineering startup that is developing an environmentally-friendly concrete, designed for marine construction and artificial structures that promote the growth of sea life, raised $5m in Series A funding from Bridges Israel and Goldacre.

 

B Rounds

 

  • Cynet, a cyber-security company that converges essential cybersecurity technologies that helps enterprises to identify security loopholes and threat intelligence, and manage endpoint security, has raised $18m in B+ round funding, led by BlueRed Partners, joined by strategic investors Deutsche Telekom and Merlin International, with additional participation from existing investors Norwest Venture Partners and Ibex Investors.
  • Augmedics, a developer of augmented-reality, surgical-image guidance tools, raised $15m in Series B funding, led by its U.S. staff in addition to existing shareholders AO Invest and Terralab Ventures.

 

C Rounds

 

  • Codefresh, the leader in Kubernetes DevOps tools, today announced $27m in new funding led by Red Dot Capital Partners with participation from Shasta Ventures and existing investors.
  • Pixellot, an automated, sports video-production company, announced a new $16m funding round. Shamrock Capital Investors, an existing investor in Pixellot, led the latest fundraising round alongside participation from existing investors Grupo Globo and the Arkin Family. Israeli investment firm Altshuler-Shaham Group also contributed as a new investor.

 

Growth/Miscellaneous Rounds  

 

  • Global-e, provides technological solutions to international e-commerce websites, raised $60m from private equity firm, Vitruvian Partners.
  • Electreon, a publicly-traded leader in developing and implementing wireless charging for electric vehicles in motion, raised $50m in a public-equity offering from some of Israel’s biggest institutional Investors led the investment, such as Migdal, Psagot, Mor, Excellence, and Halman Aldubi, and leading hedge funds Alpha, Safra, and Sphera, as well as Afcon Holdings.
  • Artlist, which offers free licensed music, stock video clips, and sound effects for digital creative industries, announced this month that it had raised $48m in a financing round led by U.S.-based KKR and participated by previous investor Elephant Partners.
    • Kitov Pharma, a publicly-traded company on the NASDAQ and TASE, has raised $35m in a public-equity offering from institutional investors.
    • Zerto, a data recovery and cloud back-up company, has raised $33m in equity funding and another $22m in venture debt as part of an F round. Participants in the equity round include Poalim Capital Markets, the investment arm of Israel’s Bank Hapoalim, as well as existing investors Access Industries Inc., through its Israel investment arm ClalTech, 83North Ltd., Battery Ventures, Harmony Partners LLC, IVP (Institutional Venture Partners), Pitango Venture Capital, RTP Ventures, and U.S. Venture Partners.
    • Mapi Pharma, a fully integrated, late clinical-stage biopharmaceutical company, received an injection of $20m from publicly-traded drug developer, Mylan.
    • Celsius Network, a Bitcoin lending and loan platform, is raising $15m in an equity-crowdfunding round promoted by BnkToTheFuture.
      • Weebit Nano, a memory-tech developer traded on the ASX, has upped its public-equity placement to $6.6m after witnessing strong demand. It also plans to raise a further $500k through a share purchase plan.
      • CardiacSense, a Caesaria-based medical device company, has raised $6m in a round led by the Israeli crowdfunding investment platform, Together, and a group of Israeli and European strategic investors.
      • OCON Healthcare, a company developing an innovative, hormone-free intrauterine-contraception platform, raised $2m in an in-house funding round, led by Pontifax VC, with existing investors Docor VC, and a private American family fund also contributing to the round.

       

      M&A and IPOs

       

      • OptimalPlus, a Holon-based big data analytics company, has been acquired by US-based, National Instruments (NATI), an automated tests and measurement company, for $365m
      • CyberX, an IOT cybersecurity company with a patent for M2M-aware behavioral analytics and machine learning technology, was acquired by Microsoft for $165m.
      • PolyPid, a clinical-stage biopharmaceutical company focused on developing, manufacturing and commercializing novel, locally administered therapies to improve surgical outcomes, has set terms for its NASDAQ listing to raise between $47m – $53m.
      • Intucell, a Raanana-based, self-optimizing network (SON) company that was acquired by Cisco in 2013 for $475m, is being sold to Indian multinational HCL Technologies Ltd. in a $50m deal.
      • Flash Networks, a leading provider of optimization solutions for the mobile internet, is being acquired by Toronto-based Volaris Group, an operating group of Constellation Software, for $20m.
      • SaverOne, the world’s first system providing an effective solution for cell phone distracted driving, has submitted its documentation for a public listing on the TASE in order to raise $7.5m

      On behalf of everyone at iAngels, I’d like to thank you for tuning in to our deal digest. If you’d like to receive a version directly to your inbox, please subscribe below.

       

      Best,

      The iAngels Team