Key Takeaways
- • New Israel-focused PE firm David Group Capital Management launches in Herzliya with backing from Stella Cohen (founder/managing partner) and Raanan Agus (former Goldman Sachs partner, chair), targeting mature Israeli and Israel-related companies across financial services, defense, industrials, and tech-enabled business services.
- • The firm secured significant capital ahead of launch but did not disclose the fundraising amount, positioning itself to address what Cohen describes as Israel's underinvested non-tech economy relative to the country's "Startup Nation" reputation.
- • Cohen brings 20+ years of global M&A and PE investing experience; the firm's stated investment thesis targets Israeli-founded or led companies, those with significant Israeli operations or assets, or businesses in sectors where Israel has developed strategic expertise.
- • Leadership emphasizes Israel's economic resilience across geopolitical crises as a foundation for growth, signaling confidence in both the Israeli business community and the firm's ability to execute value creation across mature business segments.
Summary
David Group Capital Management Ltd., a newly launched Israeli private equity firm headquartered in Herzliya, has entered the market with plans to invest in mature Israeli and Israel-related businesses across multiple sectors. Founded by Stella Cohen and chaired by former Goldman Sachs partner Raanan Agus, the firm represents a strategic effort to deploy capital into segments of the Israeli economy traditionally overlooked relative to the country's celebrated technology and venture capital sectors.
The firm's investment focus spans financial services, defense, industrials, and tech-enabled business services, with a mandate to target companies that are Israeli-founded or led, maintain significant operational or asset presence in Israel, or operate in sectors where Israel has developed demonstrable competitive advantages. Cohen, who serves as managing partner, articulated the firm's core thesis around unlocking value in Israel's non-tech economy. "Israel's non-tech economy has been somewhat left behind, compared to the 'Startup Nation' success story," Cohen stated. "Private equity investments can help many Israeli non-tech businesses to upscale, transform, expand internationally, and create long-term value."
Cohen brings substantial credentials to the role, with more than two decades of experience in global mergers and acquisitions and private equity investing. While the firm has secured significant capital ahead of its formal launch, the specific fundraising amount was not disclosed. Agus, drawing on his Goldman Sachs background, framed the launch within a broader narrative of Israeli economic resilience. "Stella, the team, and I believe in the bright future of the Israeli economy after it has demonstrated remarkable resilience and growth across economic and geopolitical crises and wars," Agus said. The leadership team emphasized confidence in the firm's assembled investment and advisory capabilities to execute on its stated vision within the Israeli and broader global private equity markets.
The firm's investment focus spans financial services, defense, industrials, and tech-enabled business services, with a mandate to target companies that are Israeli-founded or led, maintain significant operational or asset presence in Israel, or operate in sectors where Israel has developed demonstrable competitive advantages. Cohen, who serves as managing partner, articulated the firm's core thesis around unlocking value in Israel's non-tech economy. "Israel's non-tech economy has been somewhat left behind, compared to the 'Startup Nation' success story," Cohen stated. "Private equity investments can help many Israeli non-tech businesses to upscale, transform, expand internationally, and create long-term value."
Cohen brings substantial credentials to the role, with more than two decades of experience in global mergers and acquisitions and private equity investing. While the firm has secured significant capital ahead of its formal launch, the specific fundraising amount was not disclosed. Agus, drawing on his Goldman Sachs background, framed the launch within a broader narrative of Israeli economic resilience. "Stella, the team, and I believe in the bright future of the Israeli economy after it has demonstrated remarkable resilience and growth across economic and geopolitical crises and wars," Agus said. The leadership team emphasized confidence in the firm's assembled investment and advisory capabilities to execute on its stated vision within the Israeli and broader global private equity markets.
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