Israeli Startups Smash Previous Funding Record, Raising $10.5 Billion In 2021

By Staff Reporter
Posted on 06/09/21 | News Source: i24

January-June 8 saw 30 investment rounds in excess of $100m, more than the 21 throughout the entirety of 2020

Israeli tech companies have maintained and exceeded funds raised in new financing, reaching $10.5 billion in the period January-June 8, eclipsing the total amount from 2020, which was itself a new record.

Foreign investors largely drove the dramatic 137-percent increase in capital raising in the first five full months of the year, according to a Start-Up Nation Central (SNC) report.

That figure compared very favorably to the overall global increase, which was 89 percent. Europe recorded an increase of 123 percent over the same period, while the US saw an increase of 91 percent and Asia witnessed a 69-percent increase, according to PitchBook data and cited on Israeli finance and business outlet Globes.

Join BJL on WhatsApp Status: Click here to Join BJL status for engagements, births, deals, levayos, events & more

Join BJL on WhatsApp Groups: Click here to Join an official BJL WhatsApp group for breaking news as it happens

“The record funding in 2021 indicates that the growth in 2020 was not a short-term Covid-related boost but reflects top investors’ increasing trust in the Israeli innovation ecosystem,” said Uri Gabai, the incoming CEO of Start-Up Nation Central’s new Research and Policy Institute, in a statement.

“The significant increase in median deal size reflects a maturing ecosystem that is able to maintain its competitive edge as a global hub of technological innovation and offering problem-solving solutions. We hope a new budget by the expected incoming government will focus on growth-oriented policies such as enhancing the innovation ecosystem’s economic impact and tackling the chronic shortage in tech-oriented human capital.” Read more at i24