IVC-LeumiTech: Tech fund elevating jumps 24% in Q1

Israeli privately-held tech companies have raised $2.13 billion inside the first quarter of 2025, up 24% from the corresponding quarter of 2024, IVC-LeumiTech research.

The IVC-LeumiTech survey for the first quarter found that there have been about 200 financing rounds achieved, along with financing rounds that weren’t revealed, down 10% from the number of financing rounds inside the first quarter of 2024.

Whatever the 24% leap inside the sum of cash raised inside the first quarter of 2025, in distinction with the first quarter of 2024, there was a 12% fall from the $2.41 billion raised inside the earlier quarter – the fourth quarter of 2024. There was moreover a clear fall inside the number of first investments inside the first quarter of 2025, with patrons preferring to spend cash on companies already of their portfolio.

The first quarter of 2025 seen two distinctive financing rounds of over $200 million with fintech agency Rapyd elevating $250 million, alongside an equal amount raised in debt, and cybersecurity agency Island elevating $250 million. These two financing rounds represented 25% of the entire capital raised inside the first quarter. Nonetheless, even after deducting these huge financing rounds, the amount raised inside the first quarter of 2025 was nonetheless 8% bigger than the amount raised inside the first quarter of 2024.

Cybersecurity leads

The cybersecurity sector continues to information inside the amount of funding in Israeli companies – Israel’s principal tech sector as demonstrated earlier this month by the $32 billion acquisition of cloud security agency Wiz by Google. Full investments in cybersecurity startups inside the first quarter amounted to $894 million, 42% of all of the money raised, in 24 financing rounds (25% of all rounds) – which signifies a clear sample of the vitality of the enterprise.

LeumiTech CEO Maya Eisen Zafrir talked about, “We started the 12 months with the Wiz deal, which is excellent by historic necessities. I hope that the constructive sentiment that we’re already listening to from worldwide patrons throughout the deal will translate into constructive momentum for the rest of the 12 months. On the equivalent time, we’re impressed to see an increase in follow-on investments, which level out the necessity of patrons to deepen their grip on Israeli high-tech.”

Printed by Globes, Israel enterprise info – en.globes.co.il – on March 31, 2025.

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