Walden Israel is closing down and will not raise a follow-on fund. The company, one of Israel's oldest venture capital funds, began raising a $125 million fourth fund.
Walden had hoped to make the first closing on the new fund at $70 million, but was able to obtain commitments for only $35 million. The company's four partners therefore decided to close it down. They will continue supporting and financing the company's portfolio companies.
Walden Israel is the latest Israeli venture capital fund that was unable to raise a follow-on fund and is ceasing operations. It follows Concord Ventures, Delta Ventures, Israel Seed Partners, and Star Ventures.
Walden Israel founder and general partner Roni Hefetz said, "We've run out of money for new investments and we initiated financing for a new fund. We obtained a number of commitments, but failed to reach our first closing target. We decided not to continue, and we won't make new investments. We don’t feel bad. At least the decision wasn’t taken because we have a bad portfolio or dissatisfied investors."
Published by Globes [online], Israel business news - www.globes-online.com - on March 2, 2008
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