update deskIsrael News

Israeli tech firms raise $2.9b in second quarter

Figures show that the sector has weathered the storm of Oct. 7 and the ensuing war.

A ticker screen in the lobby of the Tel Aviv Stock Exchange, March 15, 2020. Photo by Flash90.
A ticker screen in the lobby of the Tel Aviv Stock Exchange, March 15, 2020. Photo by Flash90.

Israeli tech companies raised $2.9 billion in the second quarter of 2024, according to a joint report by data-source company IVC Data and Insights and LeumiTech, which specializes in banking for high-tech firms.

The amount is is the most raised by Israeli tech firms since the second quarter of 2022 when $5 billion was raised, Israeli business site Globes reported.

Funds raised in the second quarter of this year were 47% higher than the corresponding quarter of 2023 and 78% higher than first quarter of this year ($1.62 billion), according to the report.

Of the $2.9 billion, a major chunk came from a $965 million deal by cybersecurity company Wiz in May.

Without that deal, Israeli tech companies still raised 19% more in the second quarter than in the first quarter.

“If such levels of activity continue, then at this pace the tech sector will end the year with an increase compared with last year,” LeumiTech CEO Maya Eisen Zafrir said.

“In the in-depth examination we did on the identity of the investors, it is encouraging to see foreign investors who have never invested in Israel taking part in deals, even after the start of the war,” she added.

The report found that there was a rise in the number of foreign investors making first investments in Israeli tech, reversing a consistent fall.

Added IVC-Research CEO Ben Klein, “The second quarter ends today with positive growth indicators. The volumes of activity in Israeli tech continued to grow moderately. This is not trivial given the circumstances. The growing presence of foreign investors shows the attractiveness of Israeli tech.”

In other words, Israeli high-tech has weathered the storm of Oct. 7 and the ensuing war.

“Despite recent challenges, Israel’s tech industry is not just surviving; investment flows and VC activities have remained robust, proving the sector’s unflagging innovation excellence,” according to a March report by Startup Nation Central, a nonprofit promoting Israeli high-tech on the global stage.

You have read 3 articles this month.
Register to receive full access to JNS.

Just before you scroll on...

Israel is at war. JNS is combating the stream of misinformation on Israel with real, honest and factual reporting. In order to deliver this in-depth, unbiased coverage of Israel and the Jewish world, we rely on readers like you. The support you provide allows our journalists to deliver the truth, free from bias and hidden agendas. Can we count on your support? Every contribution, big or small, helps JNS.org remain a trusted source of news you can rely on.

Become a part of our mission by donating today
Topics
Comments
Thank you. You are a loyal JNS Reader.
You have read more than 10 articles this month.
Please register for full access to continue reading and post comments.
Never miss a thing
Get the best stories faster with JNS breaking news updates