iAngels Israeli Deal Digest – May 2019

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

This May we tracked 23 announced deals totaling $485M, and 13 exits totaling $2B.

IT & Enterprise Software was the leading sector this month. Exabeam, a company that empowers enterprises to detect, investigate, and respond to cyber attacks, raised $75m in a Series E financing round co-led by Lightspeed and Sapphire Ventures, alongside Aspect Ventures, Cisco Investments, NVP, and a private investor. Guardicore, a data center and cloud security solution that protects an organization’s core assets, completed a $60m growth round led by Qumra Capital, with the participation of Battery Ventures, Cisco Investments, ClalTech, DTCP Fund, EMC Ventures, Greenfield Partners, Greylock Israel, Partech, and TPG Growth.

On the M&A side, we saw three large acquisitions including SafeCharge, Twistlock, and LiveU. Safecharge, providing global omnichannel payments services from card acquiring and issuance to payment processing and checkout, underpinned by advanced risk management solutions, was acquired by Nuvei for $890m. Twistlock, a leading provider of container and cloud-native cybersecurity solutions, was acquired by Palo Alto Networks for $410m. LiveU, a company that produces technology for television broadcasters to enable live video links via wireless cellular networks, was acquired by Francisco Partners Management and Israel Growth Partners for $200m.

May 2019 Investment Highlights

Seed Rounds

  • Veego, developing a technology that can identify, understand, and resolve errors and malfunctions in edge/remote devices, routers and hubs as well as in the connected home ecosystem, received $5 million in seed funding led by State of Mind Ventures with the participation of the Corporate VC, Robert Bosch Ventures, and from North First Ventures.
  • Intello, an end-to-end SaaS optimization platform, which provides companies with real-time visibility into their software spend and data usage, ultimately saving money on wasted subscriptions and surfacing automated recommendations, received $2.5 million in seed funding led by Resolute Ventures with the participation of Magnetico Ventures and some private investors.

A Rounds

  • TriEye, a startup that is developing a SWIR (Short Wave Infra Red) sensing solution for self-driving cars, which enables low-cost night vision and extreme weather sensing, has completed a $17 million Series A funding round led by Intel Capital with the participation of Grove Ventures Fund, and a private investor.   
  • Sadé Group, a full-vertical pharmaceutical cannabis company, has raised $14 million in a Series A financing round led by Ori Yehudai, with the participation of other private investors.
  • Aleph Farms, a company that aims to lead the Cellular Agriculture revolution, starting with clean, healthy and ethical bovine cultured meat, has raised $12 million in a Series A financing round led by VisVires New Protein (VVNP), with the participation of Stray Dog Capital, Peregrine, New Crop Capital, the Corporate VC, Cargill Ventures, CPT Capital, T3 Technion Technology Transfer, and private investors.
  • MultiVu, a startup that is developing a single sensor 3D imaging solution, received $7 million in a Series A financing round led by  Junson Capital with the participation of OurCrowd, Cardumen Capital, the Technology Innovation Momentum Fund.
  • Hunters.AI, a cybersecurity company that combines its Attack Intelligence, Hunting AI, and Continuous Automation with the enterprise’s existing security data to transform enterprise threat hunting, has closed $5.4 million in a Series A financing round co-led by Blumberg Capital and YL Ventures with the participation of several private investors.
  • Voom, a startup that has built an AI-driven InsurTech platform that allows for the effective creation of new insurance products for mobility, creating an on-demand, telemetry-based insurance solution for the emerging drone industry, has closed $5 million in a Series A financing round led by Arbor Ventures with the participation of F2 Capital Fund, a few Corporate Ventures such as AXA Venture Partners, Liberty Mutual and Verizon Ventures along with several private investors.
  • Torii Labs, a company that develops a cloud-based SaaS management platform intended to help IT managers discover, audit and control SaaS apps, used by employees, has raised $3.5 million in a Series A financing round led by Uncork Capital, with the participation of Entrée Capital Israel, Global Founders Capital, LocalGlobe and a few private investors.
  • Mappo World, providing a technology that allows users to map content leveraging location-based services, has raised $0.26 million in a Series A financing round from private investors via ExitValley.

B Rounds

  • Ayala Pharmaceutical, a clinical stage precision oncology company dedicated to developing targeted therapies for people living with genetically-defined, underserved cancers, has raised $30 million in a Series B financing round led by Novartis, with the participation of aMoon, Harel Insurance Group, Israel Biotech Fund, and SBI Japon-Israel Innovation Fund.
  • Pi Therapeutics, a preclinical-stage pharmaceutical company dedicated to the development of protein degradation modulators for the treatment of cancer, with drug modulates pathways related to proteostasis, has closed $19.7 million in a Series B financing round led by Pontifax with the participation of Arkin Bio Ventures Fund, CBG Asset Management, Consensus Business Group, GF Securities, OrbiMed Israel, Quark, and RMGP Biopharma Fund.
  • Equalum, a company that has developed a Data Beaming platform, capable of instantly teleporting operational data from any source to real-time analytics environments, built for scalability and ease of use, has raised $18 million in a Series B financing round led by Planven Investments Digit with the participation of GE Ventures, Innovation Endeavours, United Ventures and several private investors.
  • Percepto Robotics, a startup that helps to integrate the use of autonomous drones capable of performing multiple security, safety, and inspections missions, providing companies with improved security, decreased safety risks and reduced operation costs, received $15 million in a Series B financing round led by USVP with the participation of Ataria, Beast Ventures, Courtside Ventures, Elevator Ventures, Emerge Fund, QB1 Ventures, R&R Venture Partners, Spider Capital, along with Corporate VCs such as Hyundai Cradle and NHN and two private investors.
  • TechsoMed Medical Technologies, a company that is developing ultrasound based real-time monitoring systems for thermal ablation procedures for tumor destruction, heart arrhythmia, blood pressure treatments and more, solving the high failure rate of these minimally invasive and cost-effective procedures, has raised $2.6 million in a Series B financing round led by Johnson & Johnson, with the participation of AMIT (Alfred Mann Institute at the Technion), Axil Capital, NextLeap Ventures, Screen Holdings and several private investors.

Growth/Miscellaneous Rounds

  • Exabeam, a company that empowers enterprises to detect, investigate, and respond to cyber attacks, received $75 million in a Series E financing round co-led by Lightspeed and Sapphire Ventures, alongside Aspect Ventures, Cisco Investments, NVP, and a private investor, Schlomo Kramer.
  • Guardicore, a data center and cloud security solution that protects an organization’s core assets, completed a $60 million growth round led by Qumra Capital, with the participation of Battery Ventures, Cisco Investments, ClalTech, DTCP Fund, EMC Ventures, Greenfield Partners, Greylock Israel, Partech, and TPG Growth.
  • Logz.io, a company offering an open-source log analytics platform, as a predictive, enterprise-grade SaaS, powered by machine-learning algorithms, providing real-time access to insights based on the collaborative knowledge of DevOps professionals around the world, has received $52 million in a growth round led by General Catalyst, 83North, Giza, Greenspring Associates, OpenView, Vintage Fund and the Corporate VC, next47.
  • Talkspace, a telehealthcare company that connects users with a network of over 5,000 licensed dedicated therapists through an easy-to-use web and mobile platform, providing psychiatry services, including prescription fulfillment, adolescent therapy and couples counseling, has closed a $50 million Series D funding round led by Revolution Growth, with the participation of Compound, Firstime, Group 11, La Maison, NVP, Qumra Capital, Softbank Capital, Spark Capital.
  • WekaIO, a company that develops software that manages the way data is stored and managed on data center infrastructure, in the cloud or on-premises, has raised $31.7 million in a Series C financing round co-led by Qualcomm Ventures and NVIDIA GPU Ventures with the participation of other Corporate VCs such as HP Tech Ventures and Western Digital Capital, along with NVP, CID Group, WRV, Seagate, and a few private investors.
  • Siemplify, a leading independent security orchestration, automation, and response (SQAR) provider, enabling security teams to manage their operations from end to end, and respond to cyber threats with speed and precision, has raised $30 million in a Series C funding round led by Georgian Partners with the participation of 83North, Abundance Partners, Capri Ventures, G20 Ventures, Jump Capital and a few private investors.
  • Rapid Medical, a biotech company that is developing products designed to treat aneurysms (abnormal expansion of the artery or vein), including a supporter that can expand into blood vessels, has closed a $23 million Series C funding round co-led by JAM Capital Partners and Microport with the participation of Agate Medical, BRM Group, Gefen Capital Fund, RocSon Medtech fund, Shanghai-Israel Investment Fund, Winnovation, and a few private investors.
  • BioProtect, a company that developed a proprietary technology platform for biodegradable balloons, suiting a wide range of applications including spacing for radiation oncology protection, aesthetics, and general surgery, has raised $7 million in a Series G financing round from private investors.

M&A and IPOs

  • SafeCharge, providing global omnichannel payments services from card acquiring and issuance to payment processing and checkout, underpinned by advanced risk management solutions, was acquired by Nuvei for $890 million.
  • Twistlock, a leading provider of container and cloud-native cybersecurity solutions, was acquired by Palo Alto Networks for $410 million.
  • LiveU, a company that produces technology for television broadcasters to enable live video links via wireless cellular networks, was acquired by Francisco Partners Management and Israel Growth Partners for $200 million.
  • Meta Networks, a Network-as-a-Service company that enables users to rapidly connect people, applications, clouds, data centers and offices, and to secure them, was acquired by Proofpoint for $120 million.
  • Profitect, a company that provides a solution that uses predictive analytics to pinpoint value chain margin leakage, inventory distortion, on-shelf availability issues, shrink, waste, damage, process non-compliance, cashier fraud, coupon abuse and operational risks, was acquired by Zebra for $100 million.
  • Algatechnologies, a company that specializes in the commercial cultivation of microalgae, overcoming biological, engineering and economic challenges posed by the mass production of microalgae, was acquired by Solabia for $72 million.
  • Cognigo, a company that helps to achieve data security and GDPR compliance in days (instead of months) through cognitive computing and advanced learning algorithms, was acquired by NetApp for $70 million.
  • PureSec, a company that enables its customers to build and maintain secure, reliable and serverless applications in a trusted and safe computing environment, supporting all serverless vendors, allowing organizations to detect, prevent, and respond to suspicious activity and attacks, was acquired by Palo Alto Networks for $55 million.
  • Bonobo AI, a company that is developing a conversational intelligence platform for organizations seeking to know their customers and grow customer relationships at scale by centralizing fragmented customer interaction data from across channels and leveraging AI to power action-ready insights from throughout the entire customer journey, was acquired by Salesforce for $50 million.
  • Vidyo, a company that pioneered Personal Telepresence, enabling natural, HD multi-point video conferences on tablets, smartphones, PCs, Macs, room systems and telepresence installations, was acquired by Enghouse for $40 million.
  • Appsee, a company that provides a simple visual-in-app analytics platform enabling companies to measure, understand and improve the user experience in their mobile apps, to act on insights delivered by the SaaS platform, was acquired by ServiceNow for $26 million.
  • Podium (adCore), a company that makes Search Engine Marketing accessible to everyone and incorporates the skills and expertise of SEM marketers, and fully automates the process of campaign submission, analysis, and optimization, raised $4.15 million in its initial public offering on the Toronto Stock Exchange.

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Best,
Massimo

Massimo is an analyst in the iAngels Investment Team and brings experience in investments and asset management. Massimo is passionate about technology and innovation, meeting with the greatest minds and ideas of talented entrepreneurs looking to make an impact. At iAngels, Massimo focuses on seed and series A investments and has built special expertise around FinTech.