Israeli based Titan Capital Partners has announced a new $100 million global fund for both investments in fundraising rounds and the purchase of secondary positions in companies and funds. In addition to its flagship fund, Titan manages several co-investment vehicles, through which it plans to deploy an additional $100-$200 million, over the next three years.
The Titan Fund plans to assist companies forge international ties in the financial markets, so that they can raise strategic late-stage rounds and buy other companies. Titan will also address the need for shareholders’ liquidity through secondary transactions.
Titan was established in late 2021 by Ben Topor who was joined by Omer Schloss as a senior partner. Titan has raised funds from five global family offices of billionaires from Israel, the US, England, Australia and South Korea as well as the wealth management groups of three global investment banks from the US and Switzerland.
Since its closing, the group has made a $14 million investment in AI based transcription and captioning company Verbit.AI, in which Titan both invested primary and secondary capital. The fund will investment up to $15 million per transaction in 10-15 companies, focusing on software and Internet companies that are raising Round B and have $10 million or more in sales and at least 80% annual growth. "We are very selective with which companies we team up with and examine them for objective financial results that are hard to hide," Topor said.
Titan stresses that the added value that it brings to entrepreneurs is international ties.
Topor said, "The secret in venture capital is access. Our structuring flexibility and combination of investments in both company and fund vehicles is a significant force-multiplier in the market and allows our LPs to gain exposure to the best companies - the Titans - in a smart and quick fashion. We do not talk but do. Because of the group's personal connections in the US as well as the large LP investors in the fund we have a real ability to invite and influence global investment giants to join our companies, which can maximize value to these targets."
He added, "Out of 440 funds active in Israel, there are only two pure play secondary funds in Israel, both of which work with outdated methods of sourcing and thinking. They are passive and have strict valuation policies that limit their felxibility. We, on the other hand, do an up-to-date valuation of the company and don’t just rely on the last round. We move very quickly, taking 2-3 days to make a decision once we have the necessary information. Most importantly, the fund's partners give value to companies and funds on a personal level, and do not delegate the tasks to junior analysts with no personal connections or experience, or real ability to assist."
Published by Globes, Israel business news - en.globes.co.il - on June 7, 2022.
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