The volume of the investment market: the state of Israel
According to the latest report of the Start-Up Nation Central research center, in 2018 Israeli high-tech companies attracted a record $ 6.4 billion in 623 transactions. The total capital raised in 2018 was 17% higher than in 2017 and 120% higher than in 2013. The volume of funds raised has increased over the past six years, although the number of transactions in 2018 has slightly decreased.
In the fourth quarter of 2018, Israeli startups collected a record 1.82 billion dollars, which is 8% more than in the previous quarter. However, in the fourth quarter of 2018, 140 transactions were completed, compared with 163 transactions in the corresponding quarter of 2017.
The number of transactions below $ 5 million continued to decline in 2018, while the number of transactions above $ 20 million continued to grow. According to the analysis of Start-Up Nation Central, the volume of large transactions from 2013 to 2018 increased almost four times, making 63% of the total amount in 2018. The number of smaller transactions, less than $ 5 million, has decreased by 23% since 2015. The fourth quarter of 2018 reached a record 34 transactions worth more than $ 20 million each. These deals attracted a total of $ 4.1 billion in 2018 because of five major deals: Landa Corp. (300 million dollars), Jfrog (165 million dollars), Insightec (150 million dollars), Trax (125 million dollars) and Etoro (100 million dollars).
In 2018, venture capital transactions amounted to $ 4.7 billion, but the number of venture capital transactions for the first time since 2014 decreased to 327. The average number of venture capital transactions increased to $ 14.4 million in 2018, almost double the amount of 2014 and 36% higher than the average for 2017.
A little more information about the volume of the investment market
In 2018, raising the capital of an Israeli IT company increased by more than 50% compared with 2015 and six times compared with 2013. In the fourth quarter of 2018, development companies attracted $ 1.01 billion as a result of 19 major transactions, $ 20 million each.
In 2018, raising capital in the field of science amounted to $ 1.2 billion in 126 transactions. Medical equipment companies attracted 50% of the capital of the entire sector, and transactions worth over $ 20 million amounted to more than 70% of the amount.
Fintech attracted the highest amounts in 2018 compared to 2013-2017, thanks to large deals with eToro ($ 100 million), Next Insurance ($ 83 million) and Hippo Insurance ($ 95 million).
2018 was the strongest year for Israeli cybersecurity companies, which attracted $ 1.08 billio
