(MENAFN- Trend News Agency)
New York-based fund Insight Partners, which has become one of
the most prominent investors in Israel's technology industry and is
responsible for many local companies becoming unicorns, has
announced the final closing of its twelfth flagship fund, along
with a dedicated co-invest fund that will participate in certain
investments alongside the flagship fund to invest in global
high-growth technology, software and Internet businesses, Trend reports with reference
to Globes .
Fund XII closed with total capital commitments in excess of $20
billion. This marks the firm's largest fundraise to date. Its
previous fund, raised in April 2020, totaled $9.5 billion.
The momentum behind investment in technology companies has
slackened, with falls in the share prices of those that have gone
public and a decline in valuations of privately held companies
raising capital. This has not, however, deterred the giant funds
from raising billions to invest in technology. It may even indicate
that large technology companies will have to remain privately-held
for a long time and rely more and more on injections of venture
capital, especially given the decline in growth forecasts.
While the fund will focus on investment in companies from the
early stage up to IPO, Insight has split off part of the money into
a smaller fund dedicated to reinforcing investment in growth
companies in which the main fund has invested.
Altogether, Insight Partners now manages $90 billion.
Insight Partners managing director Teddie Wardi told 'Globes'
that the decline in the markets did affect companies at the mature
stage, but hardly touched startup companies. 'The market has always
been volatile - there are good times and bad times, but we invest
for the long term. There are companies making IPOs, and there are
companies that can do that in another three or seven years. We'll
stand behind them.'
Wardi declined to comment on how much will be invested in each
portfolio company, and sufficed with the general remark that
Insight Partners intended to invest in interesting software
companies at any stage. According to its announcement, the fund
invests between $5 million and $500 million in a company.
According to research company IVC, Insight Partners is one of
the most active venture capital funds in Israel, alongside hedge
fund Tiger Global. It currently manages 75 active investments, some
of them in leading Israeli privately-held cybersecurity companies,
such as Wiz, Transmit Security, Noname Security, and Aqua Security.
Other unicorns in the fund's portfolio are Lightricks, Big Panda,
Joy Tunes, and Moon Active. The fund is behind some of the
outstanding IPOs of 2021, although they have seen their share
prices decline since last year, among them Monday.com, SentinelOne,
and Walkme.
Two months ago, Insight Partners appointed Liad Agmon as Israel
partner, to help it find and manage investments in Israeli
startups. Until then, it operated in Israel remotely.
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