MoneyTree: This was the highest quarterly amount since the fourth quarter of 2001.
Israeli venture capital-backed high-tech companies raised $350 million in the third quarter 2007, the highest quarterly amount since the fourth quarter of 2001, according to the PricewaterhouseCooper’s MoneyTree report. High-tech companies raised 10% more in the third quarter than the $319 million raised in the preceding quarter and 39% more than the $253 million raised in the corresponding quarter of 2006.
74 Israeli high-tech companies raised capital during the third quarter, compared with 80 companies in the preceding quarter and 66 in the corresponding quarter. The average financing round was $4.7 million in the third quarter, compared with $4 million in the preceding quarter and $3.8 million in the corresponding quarter.
There was a switch to investment in mid and late-stage start-ups from early-stage start ups during the third quarter. 61 mid and late-stage start-ups raised $314 million, 90% of the total amount raised by start-ups during the third quarter, and the largest proportion in ten quarters, since the third quarter of 2004. Most investments by venture capital funds in mid and late-stage start-ups were follow-on investments.
Published by Globes [online], Israel business news - www.globes.co.il - on October 21, 2007
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