Iron Nation raises initial $8 million for emergency fund, announces first two investments
Iron Nation raises initial $8 million for emergency fund, announces first two investments
The investments will go to Greeneye and Nurami, which belong to Israel’s Climatech and Medtech sectors
Volunteer emergency impact fund Iron Nation has announced that it has raised the first $8 million of its $20 million goal to support Israeli startups impacted by the war with Hamas. The milestone was reached just after the 100-day mark of the October 7th terror attack and subsequent war, and nine weeks after the ideation of the fund.
"The closing of our first round of investments is no small feat given the short time since the ideation of the fund,” said Gil Friedlander, Co-founder of Iron Nation. “The overwhelming support and commitment of our generous donors, investors, and partners reflects their understanding that if we do not ensure the continuity of Israel’s most promising startups during these challenging times, we are sacrificing the leaders of tomorrow's tech ecosystem. They are the most essential ingredient to our ecosystem’s future, and we are here to ensure they can sustain and grow during these difficult circumstances."
The Israel-Hamas war has impacted roughly 25% of the tech workforce, with anyone from interns to CEOs called up for army reserves. Of the 680 startups that applied for Iron Nation funding, 95% claimed that they would have to shutter within 3-6 months if new funds were not secured. The Israeli government has amplified Iron Nation’s investment via a dedicated investment-matching program of the Israel Innovation Authority. Startup Nation represents 18% of the country’s GDP and the fund has a goal of funding a total of 30 startups from the ecosystem.
Nurami recently received FDA clearance for its nanotechnology-based Dura Substitute used in neurosurgery, whereas Greeneye, which developed an AI-enabled precision spraying technology to reduce herbicide use by up to 94%, announced strategic partnerships set to launch in the U.S for this year’s growing season.
"It is heartbreaking to see founders who hit incredible growth in the first two quarters of 2023 and had term sheets for significant rounds, now struggling to have runway through 2024," added Charlie Federman, a member of the Iron Nation Investment Committee. "As a tech ecosystem and community, we cannot let them become another casualty in this war."
The Iron Nation Fund is a no management fee, no carried interest, volunteer-driven organization composed of investors from funds in Israel and the U.S. such as Viola, Pitango, IGP, Silvertech, among others. It also has a volunteer staff of 10 who work to process the influx of funding applications, conduct due diligence, and distribute funds as quickly as possible to ensure business continuity for the startup community. It was co-founded by Friedlander, Chen Linchevski, and Jason Wolf, and is also supported pro bono by companies including Meitar, Start-Up Nation Central, InNegev, and others.
