Fundraising Success for New Era Capital, Securing $120 Million for Third Investment Fund
Israel's tech ecosystem is set to receive a significant boost with New Era Capital Partners finalizing a $120 million fund. The fund aims to invest in early-stage Israeli startups focusing on AI-based technologies in sectors like cybersecurity, enterprise software, fintech, and smart mobility.
Ziv Conen, Managing Partner at New Era Capital, highlighted the importance of Israel's cyber talent in the tech ecosystem. He believes that Israel will emerge stronger, with new regional ties that will support not just security, but also technological and economic growth.
Cybersecurity continues to be a key growth engine for the Israeli tech ecosystem. With increasing sophistication and scale of cyber threats, there is a strong demand for AI-powered cybersecurity solutions. Israeli startups are leveraging AI to enhance security posture and protect AI workloads in enterprises. New Era Capital is focusing on startups that use AI to protect organizations, reflecting the growing need for advanced AI-enabled defense methods.
Gideon Argov, Co-Founder and Managing Partner, stated that raising $120 million during a time of global and local uncertainty reflects a strong vote of confidence from both international and Israeli investors in the resilience of the Israeli economy and its innovation ecosystem.
The fund aligns with New Era's strategy of high-conviction investing and strong support for selected companies. New Era's previous funds have consistently ranked in the top quartile among peers.
New Era Capital is particularly interested in startups with early revenues, solid product-market fit, and global potential. They aim at breakthrough AI tech that delivers defensible and optimized solutions, often building on foundational generative AI models adapted into industry-specific enterprise products.
In the fintech sector, AI enables innovations in financial services, enhancing risk management, fraud detection, and customer experience. New Era targets fintech startups with technological depth and global scalability potential.
Smart mobility is another highlighted sector for AI-driven breakthroughs, likely encompassing autonomous vehicles, fleet optimization, and intelligent transportation systems.
Ran Simha, Co-Founder and Managing Partner, emphasized the importance of innovation in detection, defense, and rapid response in the context of growing cyber threats. He underscored that Israel offers unmatched cyber talent, with many founders bringing direct operational experience in protecting strategic assets at a national level.
The firm has invested in over 35 companies, including Papaya Global and Optibus. This new fund will enable New Era to continue identifying exceptional founders, help them build global companies, and connect them to their extensive business network in Israel and abroad.
Long-term investor confidence is driven by the belief that the war may be nearing an end, and that regional trends are moving toward economic and security stability. Despite global uncertainties, the optimism towards Israeli AI innovation remains strong, with particular attention to immediate demand driven by cybersecurity threats and technological acceleration in AI and autonomy.
In summary, New Era Capital sees AI-powered cybersecurity, enterprise software, fintech, and smart mobility as key sectors with substantial opportunity in Israel, focusing on engineering-driven innovation that addresses real problems and has potential for global scale.
Investing in cybersecurity startups is a strategic focus for New Era Capital, given the growing need for AI-enabled defense methods due to the increasing sophistication and scale of cyber threats.
New Era Capital's strategy also includes investing in fintech startups with technological depth and global scalability potential, as AI technologies can enhance risk management, fraud detection, and customer experience in financial services.
The firm's interest in the smart mobility sector is driven by the potential for AI-driven breakthroughs in areas such as autonomous vehicles, fleet optimization, and intelligent transportation systems.
