YL Ventures Closes $27.5 Mln for Second Fund

YL Ventures said Tuesday that it has raised $27.5 million for its second fund, YLV II. The fund will concentrate on investing in internet technology startups. Also, YL Ventures has promoted Ofer Schreiber to partner. Headquartered in San Francisco, Calif., YL Ventures is an early-stage venture capital firm that focuses on the Israeli market.


SAN FRANCISCO, CA and TEL AVIV, ISRAEL–(Marketwired – Jul 30, 2013) – YL Ventures, an early-stage venture capital firm headquartered in San Francisco with particular focus on the Israeli market, today announced the closing of YLV II, L.P. (YLV II). The fund enables YL Ventures to continue to invest in core technology Internet start-up companies, providing them with seed capital, direct relationships in Silicon Valley and Software-as-a-Service (SaaS) business building expertise. In conjunction with the close of its second fund, YL Ventures also announced that Ofer Schreiber, who has been with the firm for over three years, has been promoted to Partner.
YLV II closed with $27.5 million of capital. Originally targeted at $25 million, the fund was dramatically oversubscribed, and its size was increased by 10% to accommodate a portion of the excess demand. YL Ventures’ principals concluded that restraining the fund’s size was important in order to adhere to the firm’s criteria for investment size and the rates of return it targets. The fund’s investors (Limited Partners) are primarily individuals and families with exceptional track records of business success, mostly in and around the Internet space, who are attracted to YL Ventures’ distinctive strategy of backing engineering-driven Israeli startups and maximizing their potential via active involvement in Silicon Valley.
YLV II will invest in seed-stage capital-efficient Software-as-a-Service startups that have deep proprietary technology. Key areas of concentration will include SaaS, cloud computing, big data, cyber security, DevOps, e-commerce infrastructure and mobile technologies. YLV II will bring to bear YL Ventures’ accumulated experience in helping build such successful SaaS companies as ClickTale (customer experience analytics), Seculert (APT and malware detection), Upstream Commerce (retail intelligence suite) and BlazeMeter (performance and load testing cloud). The firm provides its portfolio companies with direct access to its well-established network of employable executives, board members, customers, partners, late-stage investors and strategic acquirers in Silicon Valley and beyond. Founded by entrepreneurs for entrepreneurs, YL Ventures continues to be strongly aligned with company founders regardless of the ultimate exit strategy, whether a short-term medium-size strategic acquisition, long-term accelerated growth in partnership with top-tier VCs, or otherwise.
“YL Ventures has always been about providing capital, relationships and insights to Internet technology entrepreneurs, with a particular focus on Israeli startups that exhibit strong engineering, capital efficiency and Software-as-a-Service business models. YLV II allows us to continue along our path, and we are deeply grateful to our Limited Partners for the enthusiastic and consistent backing they provide us”, said Yoav Andrew Leitersdorf, Co-Founder and Managing Partner of YL Ventures. “In reaching this momentous juncture and launching YLV II, we are as excited as ever by the prospect of finding great new companies and making excellent investments.”
YLV II’s initial investments in early-stage companies will typically range from $1 million to $2 million and will often serve as the lead investment. Follow-on rounds, when appropriate, will normally be done in syndication with other investors. YL Ventures generally focuses on the Israeli market but also considers companies outside that region that impeccably meet its investment criteria.
About YL Ventures
Based in San Francisco, YL Ventures is a global venture capital firm that was founded in 2007 to address the changing venture capital financing landscape. The firm invests in high technology start-up companies, with particular focus on the Israeli market. The fund combines its capital with deep engineering and market expertise, thereby facilitating a highly efficient model for technological innovation. For more information, please visit http://www.YLVentures.com/