JERUSALEM, Dec 15 (Reuters) - Israeli venture capital firm Viola Ventures said on Monday it had raised $250 million in capital for two new funds to back the "next generation of Israeli startups".
About $100 million will go to Viola's Conviction Fund I, which has already been fully deployed in follow-on investments in its portfolio.
The remainder will be allocated to the Viola Ventures 7 Early Stage Investment Fund, which will invest in seed and other early-stage rounds in startups focused on areas such as vertical AI, enterprise AI, financial technologies, AI infrastructure, cyber, quantum and defence technologies.
The new fund will launch in the first half of 2026, as Viola is still making investments from its Ventures 6 fund.
Viola said it had formed an advisory panel of tech executives from companies including IBM, Red Hat, Mellanox - acquired by NVIDIA - Payoneer and SunGard to serve as strategic advisers and board members of portfolio companies.
"Despite a challenging couple of years for the region, the Israeli tech ecosystem continues to grow at record pace," said Omry Ben David, managing partner at Viola Ventures.
He cited tech funding of more than $11 billion and mergers and acquisitions worth nearly $70 billion so far in 2025.
(Reporting by Steven Scheer. Editing by Mark Potter)
((steven.scheer@thomsonreuters.com; +972 2 632 2210; Reuters Messaging: X: @StevenMScheer))