BRM cancels new fund

BRM Capital, managed by Eli and Nir Barkat, will not raise a new fund and will, in effect, cease operations. BRM will continue to manage its existing portfolio but will not make any new investments.

BRM's management took the decision several weeks back after it already began raising the new fund. Sources inform ''Globes'' that the company managed to raise capital, but decided to abandon the venture capital investment model, for personal reasons.

BRM will continue to manage its private equity fund IGI, which will continue to make investments in start-ups. The group has set aside $30-50 million for investment in start-ups and may increase this in the future. Eli Barkat will be in charge of the fund's investment strategy.

Published by Globes [online], Israel business news - www.globes.co.il - on September 6, 2007