Investment platform OurCrowd has recently announced that it has successfully raised $13 million in capital commitments for its Israel Resilience Fund, which aims to reach a total of $50 million. The fund was launched in the midst of the Israel-Hamas war and is designed to support startups that were impacted by the conflict or are actively developing solutions to address Israel’s immediate needs.
So far, the fund has already provided funding to eight promising companies, including food tech startup BlueTree and Carrar, a startup focused on developing a thermal management solution for electric vehicles. These companies were among the many affected by the war and had to relocate their facilities. The fund has also invested in aerial imagery specialist Edgybees and robotics startup Verobotics, which is currently focused on creating innovative solutions for cleaning and inspecting high-rise buildings.
Speaking about the fund’s mission, OurCrowd Founder and CEO Jon Medved emphasized the critical need for focused investment in Israeli companies that are facing significant challenges due to the current global venture slowdown and the ongoing war in Gaza. He revealed that the Israel Resilience Fund does not charge management fees or carried interest, and is looking to invest in a total of 50 startups.
“Many venture-backed companies in Israel are already struggling due to the global venture slowdown and now face even more serious obstacles due to the war in Gaza, requiring immediate, focused investment.”
Furthermore, Jeff Kupietzky, Operating Partner of the Resilience Fund and recent seller of his startup Jeeng for $100 million, shared that in addition to financial challenges, startups also face operational hurdles as a result of the conflict.
“Startups do not know when international investors will resume investing in Israeli startups as they wait for the conflict to subside. Additionally, companies face operational challenges with key personnel called up to the military reserves, while evacuations and rocket fire pose a challenge to daily business operations. Companies resiliently continue, yet many need financing to extend runways through the crisis and power their ultimate success.”
The fund’s focus on assisting companies during this difficult time highlights its commitment to helping these businesses not only survive the crisis but also thrive in the long run. With discounted valuations in the current market, the Israel Resilience Fund aims to generate significant returns for its investors while supporting the growth and resilience of the Israeli startup ecosystem.
