Elron Ventures Ltd · TASE:ELRN
Elron Ventures — Investor Presentation (January 2025)
26 slides from Elron Ventures's investor presentation, January 2025
Slide 1: Elron Ventures - Investor Presentation January 2025
Elron Ventures - Investor Presentation January 2025
Slide 2: Disclaimer
Disclaimer This presentation is for information purposes only. By 5728-1968. Such forward-looking statements involve affect this are: failure to meet goals, modifications in this presentation, Elron does not intend to solicit known and unknown risks, uncertainties, forecasts, work plan, goals and/or
Slide 3: Elron Ventures Corporate Overview
Elron Ventures Corporate Overview Established in 1962, Israel’s first evergreen fund; partnership with Rafael for over three decades Controlling Shareholder Currently Invests 25 Portfolio Arieli Group, since Sept. 2024 in Cybersecurity, SAAS, Defense & Healthtech Companies* From Seed to Series D 60+
Slide 4: Arieli Group Profile
Arieli Group Profile Leading Elron as the new controlling shareholder since September 2024 Arieli Group is a global investment firm specializing in strategic partnerships to build new technologies and invests in the entrepreneurs bringing them to market. Rooted in a third- Arieli Group's diverse The
Slide 5: Arieli Group Management Team
Arieli Group Management Team Brings expertise from three generations of investment, finance & tech Evan J. Renov Lisya Eric Bentov Co-Founder Bahar-Manoah Co-Founder & Managing Partner Managing Partner & Managing Partner Evan Renov is the Co-Founder and Managing Lisya is a Managing Partner of Arieli
Slide 6: Elron Ventures Key Milestones
Elron Ventures Key Milestones Proven track record of success and shared value Investments Exits Dividends New Dividend $83M invested in 31 7 exits valued at $1B; $76M distributed, Policy portfolio companies $220M exit proceeds including As part of our new strategy, the policy aims to share ~$42M dis
Slide 7: Elron Portfolio Snapshot
Elron Exited Portfolio Exited Snapshot Companies crossing all stages as a growth catalyst for the coming years Legend Cybersecurity Medtech SaaS Other Seed Round A Round B Round C 7
Slide 8: Elron Snapshot
Elron Snapshot Effective and consolidated assets under management Holdings based on valuation of last Holdings based on valuation of last Holdings in companies financing round 1,2 ($m, effective) financing round 1,2 ($m, consolidated) Cyber/Software Holdings- Mature Portfolio3 39.1 73.2 Cyber/Softwa
Slide 9: Elron (Consolidated) Financial Data
Elron (Consolidated) Financial Data ~$230M AUM, of which ~$90M are liquid resources PORTFOLIO RESOURCES $25M+ Cyber/ Software Holdings- New Portfolio $21M Contingent $73M $90M Consideration from the sale Cyber/Software Holdings- Current cash deposits and of CartiHeal Mature Portfolio debentures as o
Slide 10: New Compensation Policy
New Compensation Policy Projected 65% reduction in cash bonus expenses and ~20% salary savings during 2025 vs. 2024* The updated compensation policy, approved on January 2, 2025 (Immediate Report ref: 2024-01-627686), reflects cost reduction and alignment of the compensation to the market : 01 Cance
Slide 11: Elron Management
Elron Management Combining expertise in deep tech, investment and finance Yaniv Shneider Lisya Bahar Manoah Rony Gur Arie CEO of Elron Ventures Active Chairperson VP Finance and Co- CEO of RDC of Elron Ventures of Elron Ventures Seasoned technology leader with 25 years of Managing Partner @Arieli Gr
Slide 12: Elron's Unified Team with Rafael (via RDC)
Elron's Unified Team with Rafael (via RDC) Combining the knowledge and experience to accelerate investment scaling Lauren Duke Uria Lin Yaron Kulas Lior Levinsky VP Business Principal & Co-CEO @RDC CFO @RDC Development Platform Lead Kobi (Jacob) Ortal Katz Maya Reitman Shpigelshtein Paul Weinberg Ve
Slide 13: New Investment Strategy
Elron New Investment Strategy
Slide 14: Strategic Growth
Strategic Growth Expanding investment stages and entering Deep Tech to maximize value through quicker exits Deep Tech & Defense Early Growth Primary & Secondary Global Tech In Addition to Investments Investments Reach Cybersecurity & SaaS Reducing risk and Large markets in which Investing directly i
Slide 15: Dividend Distribution Policy
Dividend Distribution Policy First time since 1962, leveraging our evergreen model for creating shareholder value The policy: to distribute The policy is to distribute Evergreen vehicle Dividend minimum 25% of exit dividends on a semi-annual generally allows for Distribution* proceeds to our basis i
Slide 16: New CEO to Lead Elron's New strategy
New CEO to Lead Elron's New strategy 25 Years of Deep Tech expertise aligned with Elron’s Tech-Driven strategy Yaniv Shnieder CEO of Elron Ventures Former General Manager & CTO, Rafael Tel Aviv R&D Center, and former CTO at RDC, Yaniv Shnieder brings deep tech and defense tech expertise to Elron. He
Slide 17: Optimizing Deal Flow
Optimizing Deal Flow Leveraging opportunities through databases, platforms, networks, and partnerships RAFAEL ELRON’S VAST Access to deep tech startups DATABASE through open innovation; Sourcing deal flow through our Creating value through spinoffs- extensive database, platforms, exclusive rights to
Slide 18: Key Takeaways
Key Takeaways Positioned to maximize value creation for our shareholders ~$90M cash on hand to The right team, Focused on generating support our new the right partners returns to our investment strategy shareholders Invest in verticals with high exit Yaniv Shnieder, Former general New exit strategy:
Slide 19: Investment Verticals Deep Dive
Investment Verticals Deep Dive 19
Slide 20: Deep Tech / Defense Tech
DEEP TECH / DEFENSE TECH Targeting large markets with hard-to-meet tech demands Deep Tech: Large Increased VC Higher High Entry Breakthrough scientific or technological Markets: Activity: IRR: Barriers: advancements that offer solutions to Targeting large Up to 20% of Deep tech 40-45% unpenetrated f
Slide 21: Deep Tech / Defense Tech
DEEP TECH / DEFENSE TECH A unique value proposition based on 30 years of deep tech expertise Deep tech: Rafael has vast IP, human resources, and a market footprint in multiple deep tech domains Autonomous systems Novel AI Quantum tech AR/VR Blockchain Space tech Advanced materials Robotics Dual-Use:
Slide 22: Cybersecurity
CYBERSECURITY Decade of successful cybersecurity investing, expanding focus to early growth During the last decade we developed a proven platform for identifying compelling domains in a fragmented market, helping our portfolio companies achieve product-market-fit, and utilizing our network to grow a
Slide 23: SaaS
SAAS A proven track record of investing in and exiting SaaS startups Sector High Exit Predictable Exit Growth: Likelihood: Timing: Valued at Early-stage SaaS The median time to a $273B $1B+ companies are expected to exit at a in 2024, a 7x increase rate of acquisition is 10 years; over the last 10 y
Slide 24: Thank you
Thank you elron.com Investor Relations: Chen Livne IR contact person Chen@livne-ir.co +972 -52 9692983
Slide 25: Portfolio Overview: Mature Portfolio Companies
Portfolio Overview: Mature Portfolio Companies Exited Exited CYBERSIXGILL IRONSCALES ZENGO CYNERIO Cyber intelligence platform that 23% Automated phishing prevention, 8%* Crypto wallet that doesn’t compromise 8% Protecting the connected medical 17%* automatically & Our detection & Our between securi
Slide 26: Portfolio Overview: Next Generation
Portfolio Overview: Next Generation SCRIBE BARK N-Drip BREEZE Continuous code assurance 18%* Revenue optimization SAFE The sustainable alternative to flood 2% * AI-based enterprise cybersecurity 13%* across the Our platform for Our irrigation. Develops and Our program & posture Our software supply e
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