
VentureIsrael launches second venture fund
VentureIsrael announced the launch of its second venture fund, VentureIsrael 2, targeting investments in early stage deeptech startups across Israel.
Building on the success of the first fund and backed by both returning LPs and new investors VentureIsrael is proud to unveil its second fund on Israel’s Independence Day, a symbol of resilience, vision, and renewal. The fund’s target size is $25 million.
This is a fast-cycle opportunity fund with a 12-18-month investment window and a five-year total lifespan – half the duration of a standard early-stage fund. This structure allows more capital to go directly to portfolio companies rather than being consumed by operational overhead.
Guided by the principle of pragmatic futurism, VentureIsrael invests in technologies of tomorrow that are commercially viable today.
VentureIsrael 2 will invest in 20 Series A startups, building a highly diversified portfolio with approximately 70% focused on deeptech and 30% on FutureTech. While maintaining flexibility across verticals, the fund plans to allocate a significant share of capital to AI infrastructure, cybersecurity, and digital health. In parallel, dedicated funding is reserved for breakthrough FutureTech sectors including quantum technologies, space innovation, and neuroscience.
VentureIsrael’s investment decisions are supported by a distinguished Scientific Advisory Board, which includes:
- Shlomi Dolev: Rita Altura Chair Professor & Founding Chair of Ben-Gurion University’s Department of Computer Science; Co-Founder at Secret Double Octopus and Secret SkyDB; Founder & CEO at SodcBC
- Simon Litsyn: Co-inventor of the USB flash drive; Professor of Electrical Engineering at Tel Aviv University; Co-Founder & CSO at StoreDot; Co-Founder & CEO at xtra-lit; former Chairman of IEEE Israel
- And dozens of other leaders across academia and industry
The fund has already completed four investments:
- Remondo: high-resolution (10cm) satellite imagery at breakthrough low costs
- Sweetch: advanced digital therapeutics for chronic conditions
- Saola: fully autonomous QA platform
- Nuvo: FDA-cleared remote pregnancy monitoring solution
"In these challenging times, we are proud to launch a new fund that will support brilliant Israeli entrepreneurs working on cutting-edge technologies," said Gadi Isaev, Managing Partner at VentureIsrael. "The best companies are born during crises. We embrace these risks, want to be part of this story, and will do everything possible to help our entrepreneurs succeed. We’re especially proud to launch this fund on Israel’s Independence Day."
VentureIsrael’s first fund, launched in late 2020-early 2021, made 18 investments including API Security platform Wib (acquired by F5 Networks), the first Driver NeuroMonitoring system CorrActions (backed by Volvo and Goodyear), Infrastructure Platform For AI Builders ClearML (backed by Samsung and Bosch), and Quantum Key Distribution solution HEQA Security. During its investment period, the first fund ranked among the top 10 most active VCs in Israel out of more than 900 funds.
"If not now, when?" said Rafael Gold, Managing Partner at VentureIsrael. “We’re no strangers to risk. VentureIsrael was established at the height of the COVID-19 pandemic, then navigated the largest European war since World War II and Israel’s most significant war in 50 years. After October 7th, the fund had zero write-offs and recorded two exits. There are many startup hubs around the world, but few have proven their ability not just to survive but to thrive in turbulent times.”
VentureIsrael operates under the leadership of Managing Partners Gadi Isaev and Rafael Gold, seasoned investors and entrepreneurs who have spent over 12 years shaping Israel’s venture capital landscape. In 2013, they co-founded the Jerusalem Startup Hub, the city’s first coworkind and entrepreneurial innovation center, and subsequently established the investment platform JSCapital. Beyond their investment activities, they also champion various social initiatives, including AliyahTech conference and the Israeli Association for Ethics in AI.
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