Do not stop in Corona: The Israeli company will merge with Spock, which is owned by the Thomas Fund, and together they will be issued at a company value of $ 11.1 billion. • The company will deposit $ 800 million into its coffers.
Members of the Board of Governors.
Mega Exit
Photo:
Adam Primer
Super Exit:
Israeli AirSource raises $ 2.3 billion in a merger deal with Spock and pockets $ 800 million, at a legendary company value of $ 11.1 billion.
The 10-year-old company employs 850 people - 650 of them in Israel.
It will now become a public company through a merger with Spock, in which Thoma Bravo Advantage, one of the leading investors in the software companies, which invested more than $ 2 billion in another Israeli company, Impreva, three years ago.
According to the company's announcement, all its employees have options, except for the investors, including the Viola Fund, Len Belvatnik, Haim Saban, the advertisers Reuven Adler and Eyal Chomsky, Leumi Partners and more.
Ironsource is developing the most comprehensive platform in the market for game and application developers, which includes a comprehensive set of tools and products that make it possible to turn their applications into successful businesses.
The platform also allows developers to access unique distribution channels on mobile devices through partnerships with leading mobile operators and manufacturers, such as Samsung, Orange and many others.
An increase of about 83%
In 2020, Ironsource's revenue grew to $ 332 million, an increase of about 83% compared to the previous year, with an adjusted EBITDA margin of about 31% (about $ 104 million).
In fact, the company's recruitment volume is similar to the number of active users it serves each month - 2.3 billion.
Thoma Bravo is a private equity fund ("Private Equity"), one of the most experienced and successful software investors in the world, with more than 300 investments in software.
Omar Kaplan, one of the company's founders and deputy CEO, referred to the factors that led the company to the IPO and told Israel Today: "We, eight founders, founded the company ten years ago.
This is a very special Israeli company.
Out of 850 employees, 650 employees in Israel, including the founding team.
The company has a special culture of working hard but it is also full of life, doing and innovation and many things that lead it to what it is.
"This is a field that has grown a lot: platforms that help games and applications, especially games, turn their content into a business that is successful and big. It is a field that has grown in the world and we are considered one of the leading platforms in the world."
On the impact of the Corona on the company, he said: "In terms of the Corona, we had a combination. We actually have one platform, with solutions for two types of customers. One: apps and games, where there was a positive impact because more people played during this period."
"The second is for mobile operators, which we give them a system that helps them communicate with users and offer them all kinds of offers. So this activity is affected by the amount of devices that mobile operators or device manufacturers sell. Corona sold fewer mobile devices, so in this aspect it affected."
"We are excited about the partnership with Thoma Bravo, one of the leading software investors in the world, on the way to the next stage in our story," said Tomer Bar-Zeev, CEO of OneSource and one of its founders. "Although we reached an advanced stage in the regular IPO process, when we met Thoma Bravo we found Many similarities in the vision and shared belief in the long-term growth we can drive in Ironsource, and we decided to connect with them on the way to making the company public.
We will continue to concentrate on the task we have set for ourselves - to help mobile app and game developers grow as thriving businesses. "
Orlando Bravo, Thoma Bravo's managing partner and founder, said: "With a full array of solutions throughout the application lifecycle - and a unique combination of size, business growth and exceptional profitability - we anticipate that Ironsource will lead the market in which it operates, a market that is valued About $ 41 billion by 2025. "
The volume of investments is increasing
Meanwhile, despite the corona - the volume of venture capital funds' investments in Israeli high-tech companies has risen to a seven-year high, according to IVC's report of the most active venture capital funds in Israel, in collaboration with the law firm Amit Polak Matalon & Co. ( According to the report, 620 new investments were recorded during 2020, indicating a return to a growth trend after a decline in 2019.
The upward trend in later rounds is also evident in initial investments: the number of first investments in later rounds has more than doubled since 2014.
Overall, the participation of Israeli venture capital funds in initial investments increased in the years 2020-2014 by about 65%, compared with an increase of only 26% in foreign funds.
Israeli venture capital funds made 45% of the first number of investments in 2020, similar to 2019 (46%).
In addition, Israeli and foreign venture capital funds increased the amount of initial investments compared to 2019.
Most of the change in the initial investment trend is in line with the positive sentiment of investors towards allocating more capital to later rounds.
The number of these has climbed by about 119% in the last seven years and in 2020 amounted to 10% of the total initial investments, a significant increase compared to only 6% in the years 2016-2014.
Advocate Jonathan Altman, Chairman of Amit, Polak, Matalon & Co., said: "We are seeing an increase in the number of first investments in the later rounds, and this does not surprise us. We identify a significant amount of transactions of all kinds, and the numbers support this. On the other hand, the increase in the early rounds and the recovery that was observed in relation to 2019, constitute a real line. "