Magnum Communications Fund has invested in Israeli start-up Siverge Networks, a developer of components for communications routers and switches. Siverge raised $12 million from Magnum, Evergreen Partners and Cedar Fund. Each fund invested $4 million.
Siverge has developed a system-on-chip application for high speed transmission over central telecommunications systems. The company claims that each system-on-chip unit can be used in place of the dozens of components in the solutions that are currently available, thereby making high speed telecommunications transmission simpler and more efficient.
Siverge’s products are designed for use by telecommunications equipment manufacturers such as Alcatel (NYSE: ALA; Paris: CGEP), Cisco Corp. (Nasdaq: CSCO), Lucent Technologies (NYSE: LU), Nortel Networks (NYSE; TSX: NT), Fujitsu (TSE: 6702), and Juniper Networks (Nasdaq: JNPR). Siverge was founded in August 2005 by CEO and chairman Dr. Yuval Berger, president and CTO Moshe De-Leon, and Udi Kra, formerly founder of Silicon Design Systems, which was sold to Orckit Communications (Nasdaq: ORCT; TASE: ORCT). The company is headquartered in Herzilya and employs 35 people.
In January this year, the media reported that Siverge had raised $12 million from Evergreen and Cedar. The two funds were believed to have undertaken to provide the entire sum, in the event that a third investor could not be found. This target has now been achieved with the entry of Magnum as Siverge’s third investor.
Published by Globes [online], Israel business news - www.globes.co.il - on August 15, 2006
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