Israeli software monitoring and AI platform developer Coralogix has raised US$115 million in a series E funding round, increasing its valuation to over US$1 billion.

This funding brings the company’s total capital raised to US$350 million since its establishment in 2015.

NewView Capital led the funding round, with participation from the Canada Pension Plan Investment Board (CPPIB) and NextEquity.

Existing investors, including Advent International and Brighton Park Capital, also contributed.

According to CEO Ariel Assaraf, the funding was secured before the recent conflict with Iran began.

Coralogix employs 550 people worldwide and has its main research and development center in Tel Aviv.

Coralogix plans to invest the funds in its operations, particularly to expand its AI initiatives.

🔗 Source: Calcalist

🧠 Food for thought

1️⃣ Israeli tech funding resilience amid regional instability

Coralogix’s $115 million raise continues a pattern of significant funding rounds for Israeli tech companies despite regional challenges.

The company’s leap from a $650 million to a $1+ billion valuation reflects the broader trend of increasing valuations in the Israeli tech sector, particularly in software and AI-focused companies 1.

This funding environment has been building for years, with Israeli tech companies raising $6.47 billion across 623 deals in 2018 (a 17% increase from 2017), and $1.55 billion in Q1 2019 alone 2.

The timing of Coralogix’s funding, secured before the current Israel-Iran conflict, highlights the strategic importance investors place on closing deals during periods of relative stability, as regional tensions can impact market sentiment and investment flows.

The achievement of unicorn status (valuation over $1 billion) is particularly notable as investors have become more selective, showing a preference for later-stage companies with proven technologies over early-stage startups 2.

Coralogix’s successful raise during this period demonstrates how Israeli tech companies continue to attract significant capital despite the challenging geopolitical environment.