Internet search co Delver warns of closure

The negative effects of the global economic crisis continue to impact Israel's Internet start-ups. Sources inform "Globes" that employees of start-up Delver received a notice stating that the firm will likely cease its operations if it does not find an adequate financial solution to its cash flow problems.

Delver is considered one of the more interesting Web 2.0 start-ups founded in Israel. It was one of 15 companies chosen to travel to Silicon Valley in 2008 as part of the Israeli Web Tour.

However, Delver aimed at the very competitive market of Internet searches. Its social search technology links search results with the social contacts of the searcher. Its technology searches social networks such as Facebook and MySpace, and ranks user searches according to the relevance based on his or her social network.

Delver CEO and co-founder Liad Agmon told "Globes", "We did not succeed to raise the current funding round because of the situation, and we are now looking for a buyer for the company, alongside contacts with private investors."

Delver has raised $4 million to date from Carmel Ventures II.

Published by Globes [online], Israel business news - www.globes-online.com - on January 22, 2009

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