Sources inform ''Globes'' that UAV maker Aeronautics Defense Systems Ltd. has acquired Al Cielo Ltd. for $20 million. Al Cielo is the reincarnation of Chiaro Networks, which raised $224 million before folding two and a half years ago. Al Cielo is developing a high performance Fiber Optical Gyro, which apply the company's core optical technologies.
Chiaro, founded in 1997, holds the Israeli record for raising capital. It is a classic phoenix story of the determination of Efi Gildor, one of the company's first investors, who believed that it was still possible to win something from the ashes. He is the sole investor in Al Cielo, founded by CEO Dr. Eyal Shekel, who was the also the founder of Chiaro.
Chiaro's investors included Pitango Venture Capital, Star Ventures, Poalim Capital Markets - Investment Bank Ltd., and US and Israeli private investors. They all decided to cut their losses and closed down the company.
Gildor is an Israeli expatriate who resides in the US. He co-founded Arbitrade Holdings LLC, which sold to Knight Security Inc. in 2000 for $400 million, and invests in Israeli high-tech companies.
Aeronautics Defense Systems, founded in 1997, is a private manufacturer of tactical UAVs. The company has more than $50 million in annual sales. Investors include Ofer Hi Tech Ltd., Edmond De Rothschild Israel Opportunity Fund, and Avi Shaked, Ron Zuckerman and other private investors.
Published by Globes [online], Israel business news - www.globes-online.com - on December 20, 2007
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