December 27, 2017
After a steep drop in all the exit indices in 2016, compared with 2015, high-tech exits recovered strongly in 2017. A report by the PriceWaterhouseCoopers (PwC) Israel accounting firm stated that Israeli high-tech exits totaled $7.44 billion in 2017, 110% more than the $3.5 billion in exits in 2016.
The figures exclude the acquisitions of Mobileye and NeuroDerm, which would have increased the value of exits in 2017 to $23.8 billion. These two acquisitions were already reported as exits in 2014, when the companies held their IPOs. The report also excluded exits of less than $5 million. 48% of the volume of exits in the report was in computing and software for corporations, including cyber technologies. Life sciences companies accounted for 23% of the volume of exits, Internet companies 12%, and communications companies 9%. Exits as a whole averaged $106 million.
The number and value of IPOs also recovered in 2017. 11 Israeli high-tech companies held IPOs on various stock exchanges in Israel, the US, Sweden, the UK, and Australia, raising an aggregate $414 million at an aggregate company value of $1.5 billion, a substantial increase over 2016, when only two companies held IPOs, raising $44 million. In 2015, on the other hand, there were eight IPOS in which a total of $3.5 billion was raised.