If we look at the investment rounds above $100 million, more than 70% (including all the rounds ever) occurred from 2019, and 27 rounds (i.e. 33%) were completed this year, from January to May 2021,” said Cohen. “Out of these 27 rounds above $100 million, 23 were led or co-led by American institutions. In comparison, only a third of the rounds were led by American investors prior to 2019.”
According to a report by Catalyst Investments, the average time it takes for Israeli tech startups to become unicorns has decreased by half in the past decade.
Israel’s shift from being a start-up nation to a scale-up nation is a well-known trend. But what are the drivers behind this transition?
Jonathan Cohen, associate at Catalyst Investments, investigated the numbers behind the recent change in the Israeli ecosystem. According to Cohen, the shift from “start-up“ to “scale-up“ reflects a change in the influence of U.S. investors in Israel.
U.S.-based corporates and financial institutions have increased their exposure in the country and are now the dominant force, both in terms of investments and exits.
