Elron Ventures Ltd · TASE:ELRN
Elron Ventures — Investor Presentation (May 2022)
30 slides from Elron Ventures's investor presentation, May 2022
Slide 1: Elron Ventures - Investor Presentation May 2022
ELRON VENTURES - INVESTOR PRESENTATION May 2022
Slide 2: Comments
This presentation is for information purposes only. By this presentation, Elron does not intend to solicit offers to purchase its securities and the presentation does not constitute an invitation to receive such offers, and nothing said therein constitutes a “public offering”, as defined in the Isra
Slide 3: Elron Ventures: early-stage Israeli investments with potential to become market leaders
ELRON VENTURES: Elron was established in 1962 by Uzia Galil WE SPECIALIZE IN EARLY-STAGE ISRAELI To bridge the gap Today the goal is to provide INVESTMENTS WITH THE POTENTIAL TO between Israeli R&D entrepreneurs with a nurturing and industry, and environment, as well as the support BECOME MARKET LEA
Slide 4: Building Value in Venture Capital Investments
BUILDING VALUE IN VENTURE CAPITAL INVESTMENTS 1960s Defense Elbit 13 exits totaling $1.7b Investment platform 1970s since 2010, including based on 4 value circles: strategic design partners, Medical Imaging proceeds of $620m advisory board, Elscint for Elron Ventures experienced founder network, div
Slide 5: Teamwork
TEAMWORK An experienced team which led 13 exits, dozens of investments, and follow-on financings totaling hundreds of millions of $s over the last decade YARON ELAD NIV LEVY ELIK ETZION KOBI KATZ ZOHAR CEO & Managing CFO Managing Partner CTO & Partner, ROZENBERG Partner Broad experience in Lt. Col.
Slide 6: 4 Value Circles
4 VALUE Advisory Board CIRCLES CORE TEAM Guidance and support based on investment expertise built over decades ADVISORY Gil Gur Arie Jeff Trudeau Chief Global Data, CISO at Chime in Consulting ELRONISTS Insights and Analytics Silicon Valley platform of Officer at Ford Motor Guiding and (previously C
Slide 7: Validation platform for deep-tech oriented investments in early stages
VALIDATION PLATFORM FOR DEEP-TECH ORIENTED INVESTMENTS IN EARLY STAGES RDC: ELRON VENTURES & RAFAEL’S JOINT INVESTMENT VENTURE FOR INITIATING & DEVELOPING NEW CO’s EXTENSIVE ENGAGEMENT WITH START-UPS AS PART OF DUE DILIGENCE Vast experience in Well-established SUCCESSFUL CASE technological practice
Slide 8: Long-standing track record of building new portfolios and scaling investments
LONG-STANDING TRACK RECORD OF BUILDING NEW PORTFOLIOS AND SCALING INVESTMENTS 12 year performance 8 year B2B software/cyber portfolio construction 5 21 exits companies $82m exit proceeds ~26 external follow- on rounds $1.7b $620m exits returns 26 $367m $241m EXIT companies under value created manage
Slide 9: Cybersecurity / B2B Software: From Seed to Exit
CYBERSECURITY / B2B SOFTWARE: FROM SEED TO EXIT Sold to PALO ALTO NETWORKS Sold to MICROSOFT Sold to RAPID7 Sold to Sold to PING IDENTITY INTUIT July Apr. Feb. June Dec. 2017 2018 2021 2021 2021 9
Slide 10: Elron Ventures II: Cybersecurity & B2B Software Growth Catalyst
Elron Ventures II CYBERSECURITY & B2B SOFTWARE – GROWTH CATALYST Allero IN THE NEXT DECADE Seed Round A Round B Round C 10
Slide 11: Cybersecurity - Elron Ventures II Portfolio Buildup
ELRON VENTURES II - PORTFOLIO BUILDUP 18% 24% 3 co-founders, strong tech background and seasoned in the 2 co-founders, strong tech background (IDF unit 81 alumni), cybersecurity ecosystem. Hyped space (software supply chain strong entrepreneurial skills. Disruptive tech (session security) and one of
Slide 12: B2B Software - Elron Ventures II Portfolio Buildup
ELRON VENTURES II - PORTFOLIO BUILDUP 29% Allero 30% 2 co-founders, strong tech & business background (IDF unit 2 co-founders, strong DevOps & data science background, 81 alumni). Rapidly growing space (HR tech), uncrowded DevOps influencer track record. The CI/CD ‘jungle’ has bred domain (team/empl
Slide 13: Holdings in companies: book value at March 31, 2022
Book value at Our holdings based on valuation of Holdings in companies 1 March 31, 2022 ($m) last financing round 2 ($m) Cyber/Software Holdings- Mature Portfolio 21.7 91.0 Cyber/Software Holdings- Next Generation 10.6 13.0 ^ Based on valuation Portfolio set at last financing Total Cyber/Software Ho
Slide 14: Our Mature Cybersecurity / B2B Software Companies
OUR MATURE CYBERSECURITY / B2B SOFTWARE COMPANIES 5/16/2022 14
Slide 15: IRONSCALES
IRONSCALES IRONSCALES is a pioneer of a cloud-native, AI-driven messaging security, with a solution that continuously detects and remediates INVESTORS advanced threats in the intensifying messaging cyber attack vector. With its native API integrations, IRONSCALES can integrate with today’s modern em
Slide 16: Cybersixgill
CYBERSIXGILL Cybersixgill’s cyber threat intelligence (CTI) platform provides AI-based data collection and analysis. Compared to other INVESTORS vendors which combine manual services in their offering, Cybersixgill’s fully automated solutions allow businesses to perform risk assessment and make cruc
Slide 17: OpenLegacy
OPENLEGACY OpenLegacy’s cloud migration platform for legacy systems enables digital transformation by easing the challenge of moving, connecting INVESTORS and managing applications on the cloud, through a phased migration approach. OpenLegacy’s platform provides 10x faster API creation (from 6 month
Slide 18: ZenGo
ZENGO ZenGo’s “crypto wallet app for everyone” enables the storage and trading of 70+ crypto assets and secure Web3 connectivity. With ZenGo’s INVESTORS simplified wallet users set up an account in seconds, buy and sell crypto in a few taps, connect to NFT and DeFi Dapps, trade and earn interest, tr
Slide 19: Cynerio
CYNERIO Cynerio’s healthcare IoT cybersecurity platform protects healthcare institutions’ IoT and connected medical devices, while ensuring service INVESTORS availability, data confidentiality, and patient safety. Cynerio’s suite of solutions stops attacks on day one of implementation, finds critica
Slide 20: Sayata
SAYATA Sayata’s online SMB insurance marketplace automates the quote-bind-issue process, allowing brokers & carriers to place more SMB INVESTORS insurance policies in a fraction of the time. Based on a few details about the client, Sayata’s AI-based platform provides brokers with several competitive
Slide 21: Medtech Companies
MEDTECH COMPANIES 5/16/2022 21
Slide 22: Medtech Portfolio
MEDTECH PORTFOLIO Strategy MIX OF EARLY-STAGE AND MATURE COMPANIES; ALL FULLY FUNDED • Our exit strategy is to realize our medtech assets by creating M&A opportunities through FDA approval CartiHeal Notal Vision Pocared Nitinotes Coramaze BrainsGate • We may also exploit Biodegradable Early AMD Cult
Slide 23: CartiHeal
CARTIHEAL FIRST INVESTMENT: 2012 CARTILAGE & BONE REGENERATION IN JOINTS SUCH AS THE KNEE Cartilage injuries affect millions of patients worldwide. The need for a simple, fast, TOTAL INVESTMENT: and off-the shelf solution to restore cartilage is an unmet challenge facing $70.5M medicine today. MAIN
Slide 24: Opportunity Summary
STRONG FINANCIAL POSITION • $367M total cash balance & investments in portfolio companies TRACK RECORD OF BUILDING NEW PORTFOLIOS & SCALING THEM UP • Cybersecurity & B2B Software portfolio – Net Asset Value of $159M • MedTech portfolio – Net Asset Value of $143M OPPORTUNITY • Elron Ventures II – Por
Slide 25: Thank You
= Elron am. Ventures elron.com
Slide 26: Exits at a value of $1.7B
EXITS AT A VALUE OF $1.7B $620M Our share in proceeds Acquired by COVIDIEN Sold to ROCHE Sold to Sold to PALO ALTO Sold to Sold to Sold to NETWORKS ENABLENCE WAVE Sold to Sold to Sold to Sold to BRUKER MICROSOFT Sold to SYSTEMS Sold to PING INTUIT ALVARION RAPID7 CORP VOLCANO ZOLL IDENTITY May June
Slide 27: Our Cybersecurity Companies
CYBERSIXGILL IRONSCALES ZENGO Cyber intelligence Automated Crypto wallet that 23% 8% 9% platform that phishing by RDC doesn’t compromise automatically & prevention, between security covertly analyzes Our detection & The balance of and user experience Our investment: our investment: investment: the d
Slide 28: Our Software Companies
OUR SOFTWARE COMPANIES OPENLEGACY KEEPY AUDIOBURST ALLERO Automated API HR analytics for AI-powered audio A governance and integration platform employee and team search platform that visibility platform for that speeds digital retention & discovers content that managing multiple transformation engag
Slide 29: Our Medical Device Companies
NOTAL CARTIHEAL BRAINSGATE VISION Implant for Electrical Remote cartilage and 27% stimulation- 28% monitoring of 10% OUR bone regeneration based treatment for patients with age-related MEDICAL Our Our Our in load-bearing investment: ischemic stroke investment: macular investment: joints $18.4m $31m
Slide 30: Our First Drone Tech Company
OUR FIRST DRONE TECH COMPANY WONDER ROBOTICS Software for safe & 24% Commercial drone operations: A autonomous by RDC landing on market waiting to take off unprepared & Our unmarked investment: The commercial use of drones will revolutionize numerous sites $1.5m applications, from package delivery t