Israeli venture capital funds, whose first investment or capital call was made in 2008, raised $793 million in 2008, 30% less than the $1.14 billion raised in 2007, by funds whose first investment was in that year, Israel Venture Capital Research Center - IVC reported today.
Several of those Israeli venture capital funds announced first closings, for a total of $300 million. Giza Venture Capital, Jerusalem Venture Partners (JVP), and Genesis Partners all announced first closings of $100 million for their new funds.
The 2008 total also includes funds that held their final closing for new funds in 2008, raising an aggregate $485 million during the year. Carmel Ventures closed on $235 million for its Carmel III Fund, Gemini Israel Funds raised $150 million for its Gemini V Fund, and Cedar Fund raised $100 million for its Cedar III Fund.
IVC Research Center predicts Israeli venture capital funds will raise an additional $300 million in 2009 for investment in Israeli high technology over the next few years.
Israeli venture capital funds have raised an aggregate $11 billion in the past ten years.
About $1 billion in capital is currently available for investment by Israeli venture capital funds, of which $400 million is intended for first investments in high-tech companies and the remainder reserved for follow-on investments.
IVC added that Israeli private equity funds that partly invest in technology companies, such as Fortissimo Capital, Israel Secondary Fund, Viola Partners, and Vintage Venture Partners' Vintage IV Fund of Funds, raised an aggregate $400 million in 2008, though they are not included in the IVC totals.
Published by Globes [online], Israel business news - www.globes-online.com - on March 11, 2009
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