After the fintech company Fundguard from Migdali Azrieli, another Israeli company, Coro, which deals in the sale of cyber systems to small and medium businesses, announces the raising of 100 million dollars.
Koro’s value has not been published, but it is estimated at about 800-900 million dollars, a value that brings Koro closer to the field of unicorns, and there is justification for this in the revenue line: below the radar, Koro has grown as one of the most profitable private cyber companies in Israel, with an annual revenue rate (ARR ) estimated at about 100 million dollars, with a growth rate ranging from 2-3 times every year. The company refused to respond to these data.
Koro is also considered a large employer with 350 employees, half of them in Israel and the majority of the rest in the development center in the UK. It is currently active mainly in the American market, but is also interested in expanding to European markets such as France, Spain, Germany and the United Kingdom.
Coro from Rothschild Boulevard in Tel Aviv operates differently from most cyber companies in Israel, which usually target large corporations employing thousands of employees, with a product that specializes in a very narrow market segment, with the assumption that they will pay high subscription fees in a way that repeats itself every year. Koro is active precisely in the market of small and medium-sized businesses – chains of stores, law offices, garages or clinics – that are looking to receive all types of cyber protection in one package. In this sense Koro competes with Microsoft, which lures many small businesses with information security packages at low prices compared to the market.
The company prides itself on a cyber package that includes server and cloud security, end device security and threat monitoring, and the fact that, unlike many Israeli cyber companies that develop a product that solves one problem in the organization, Koro has developed a platform on which products can be added in a modular manner. Indeed, the company is interested in expanding in the end device market and in other areas that it does not specify, and to make additional purchases.
The cloud company for managing investment portfolios FundGuard has raised $100 million
Days before, the start-up company FundGuard, which develops a cloud platform for managing investment portfolios, raised $100 million in round C. The round was led by the Key1 Capital fund, with the participation of the funds Euclidean Capital, Hamilton Lane and the participation of existing investors Blumberg Capital and Team8. In the past, Citi and State Street invested in the company, and since its establishment, it has raised over 150 million dollars.
In Israel, despite the war, the growing high-tech companies go out for recruitments, believing that they will be able to raise a higher value than six months or a year ago.
As far as we know, all the fundraising money was invested in the company and not in buying shares from ventures or previous investors – a phenomenon that characterized the capital raisings of 2021-2022.
All the fundraising was carried out from foreign venture capital funds – including the existing investors Energy Impact Partners and Balderton, and led by a new foreign investor: the One Peak Fund, on whose behalf David Klein, who represents the fund in investments in Europe and the Middle East, will join the company’s board of directors – this is with the aim of helping the company in its business expansion her to Europe.
The JVP fund, one of the oldest investors in the company, does not participate in the new investment, even though it is considered the largest shareholder and according to the estimate holds more than a third of the company’s shares.
