Though an unlikely powerhouse for startups, Israel has emerged as one of the biggest launching pads for tech companies. Over the years some of the biggest exits have come from there. 2015, like 2014 and 2013, was a year of big exits, large rounds, and big stories from the “Startup Nation.”
As we round out 2015, let’s take a look back at some of the big moments in the Israeli startup scene:
Record breaking exits
In June of 2015 it was reported that Israeli startups produced 54 exits in the first half of the year, netting a total of US$5.29 billion – nearly the entire amount from the previous year. Though the final numbers aren’t in yet, it’s safe to say that we’re on track to see the biggest year for Israeli startup exits on record.
Microsoft, in particular, was extremely bullish on Israeli startups, purchasing two software security companies this year.
Here are a few notable exits from 2015
- Fundtech – Purchased by DH Corp for US$1.25 billion
- Adallom – Purchased by Microsoft for US$325 million
- Secure Islands – Purchased by Microsoft for around US$150 million
- Annapurna – Purchased by Amazon for US$350 million
Yes, while it’s true that some people see the propensity of Israeli startups to exit rather than grow into much larger companies as a bad thing, there are many that see it as an asset.
Exciting companies raising seed money to expand
With all the news about Israeli companies making huge exits, it’s no wonder investors are bullish. This year was a great year for some amazing Israeli startups to raise capital to take their technologies and services to the next level.
In Q3 alone, US$1.1 billion in capital was raised by Israeli startups. From Q1 to Q3, 506 companies raised over US$3.2 billion (editor’s note: China collected US$28.6 billion and India accepted US$7.6 billion). Jon Medvedev of OurCrowd predicts that there will have been over US$5 billion invested this year in Israeli startups by the time the ball drops on December 31.
The explosion of Asian capital
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