VentureIsrael Launches $25 Million Fund to Back Deep Tech Startups in Israel

VentureIsrael, co-founded by Gadi Isaev and Rafael Gold, has announced the launch of its second venture capital fund—VentureIsrael Fund II—with a total commitment of $25 million. The fund will invest in approximately 20 early-stage startups, with initial checks of up to $1 million per company and potential for follow-on funding. The focus will be on Israeli-founded, Israel-headquartered companies that are building for global markets.

The fund is targeting sectors that combine near-term commercial viability with long-term technological depth. These include cybersecurity, AI infrastructure, developer tools, and digital health, as well as emerging areas such as quantum computing, space technology, neuroscience, and synthetic biology.

VentureIsrael’s first fund, a $15 million vehicle launched during the COVID-19 pandemic, was one of the most active in Israel in terms of deal volume during its deployment period. That portfolio included companies such as Cydome, which develops cybersecurity for the maritime sector; Wib, later acquired by F5 Networks; HEQA Security, which works on quantum encryption; Neurobrave, a brain-tech startup whose product is already in use by IDF personnel; and Fincom, an anti-money laundering company that attracted investment from Nasdaq Ventures and Macquarie Group.

Isaev and Gold have worked together in the Israeli capital markets and venture capital industry for over a decade. Their limited partners in Fund II include tech founders, CTOs, and senior executives from both global technology firms and U.S.-based venture capital funds, as well as figures from traditional industries such as retail, pharmaceuticals, and manufacturing.

Four initial investments have already been made from Fund II. These include Remondo, a provider of high-resolution satellite imagery with disruptive pricing; Sweetch, which merges AI with emotional intelligence for behavioral health solutions; SaolaAI, a maintenance-free quality assurance platform based on behavioral insights; and Nuvo, an FDA-approved remote pregnancy monitoring system.

The fund is supported by a scientific advisory board comprising experts in cryptography, advanced materials, quantum communication, and neuroscience. These advisors assist portfolio companies with research guidance and, in some cases, help establish dedicated labs in collaboration with Israeli universities.

Isaev describes the fund as founder-oriented and focused on long-term support without excessive involvement. Gold adds that the fund is willing to take calculated technological risks, particularly in areas where few other investors are active at the early stage. Their approach is built on access to both academic expertise and a strategic investor network, aimed at supporting startups through the most formative stages of their growth.