Key Takeaways
- • Vine Ventures has closed a $236 million third fund, its largest to date, which exceeded the firm's initial fundraising target and lifts total assets under management above $500 million, according to CTech.
- • The fund follows a $50 million first fund and a $140 million second fund, marking rapid growth five years after the firm's founding.
- • Vine expects roughly 50% of the new fund's capital to go to Israeli companies, targeting companies across the U.S.-Israel technology corridor.
- • The firm's portfolio includes Eon, Wonderful, Ornn, Qodo, Ora and Maven Robotics, with early-stage stakes in Eon, Wonderful and Ornn built from the seed stage.
- • Vine has added Michael Lynton, Gary Reiner and Bob Mylod to a senior advisory group and hired Adam Valkin from General Catalyst to lead investment activity from Boston.
Summary
U.S. venture capital firm Vine Ventures has raised $236 million for its third fund, its largest to date, exceeding its initial fundraising target and bringing total assets under management to more than $500 million, according to CTech. The firm was founded five years ago. Its first fund totaled $50 million and its second fund $140 million. Investors in the latest fund include leading global asset managers, prominent family offices, CEOs of large corporations, and both new and returning limited partners.
Vine describes its strategy as investing at the very earliest stages, often as the first investor, in companies it believes can become global from day one. Co-founder and partner Eric Reiner told Calcalist that the firm typically invests before major venture capital firms or alongside them, and currently has five co-investments with Sequoia. The firm is U.S.-based but expects about half of its investments to be in Israel. Since closing its second fund, Vine has sharpened its focus on Israel, expanding its local presence and deal sourcing while maintaining its U.S. footprint. The second fund's value is concentrated in Israeli companies, including stakes in Eon, Wonderful and Ornn. Reiner said the firm has already begun investing in AI-driven defense companies, including infrastructure, through the new fund.
Vine has expanded its team and advisory bench. Adam Valkin, formerly of General Catalyst, will lead investment activities from Boston alongside Idan Tendler, formerly of Palo Alto Networks, who serves as Venture Partner. Gary Reiner, former CIO of General Electric and an operating partner at General Atlantic, is a senior advisor. The new senior advisory group also includes Michael Lynton, chairman of Snap and former CEO of Sony Entertainment, and Bob Mylod, chairman of Booking.com. Vine also appointed Noa Argamani, a survivor of Hamas captivity, as Platform Manager to lead its entrepreneur community and portfolio connections.
Reiner framed the fund around the U.S.-Israel corridor, arguing that American capital and frontier models combine with Israeli infrastructure and application, defense and cyber capabilities. He said he expects the current generation of Israeli entrepreneurs to produce major IPOs and significant M&A. The firm states it will continue to pursue multi-billion-dollar opportunities at the earliest stages.
Vine describes its strategy as investing at the very earliest stages, often as the first investor, in companies it believes can become global from day one. Co-founder and partner Eric Reiner told Calcalist that the firm typically invests before major venture capital firms or alongside them, and currently has five co-investments with Sequoia. The firm is U.S.-based but expects about half of its investments to be in Israel. Since closing its second fund, Vine has sharpened its focus on Israel, expanding its local presence and deal sourcing while maintaining its U.S. footprint. The second fund's value is concentrated in Israeli companies, including stakes in Eon, Wonderful and Ornn. Reiner said the firm has already begun investing in AI-driven defense companies, including infrastructure, through the new fund.
Vine has expanded its team and advisory bench. Adam Valkin, formerly of General Catalyst, will lead investment activities from Boston alongside Idan Tendler, formerly of Palo Alto Networks, who serves as Venture Partner. Gary Reiner, former CIO of General Electric and an operating partner at General Atlantic, is a senior advisor. The new senior advisory group also includes Michael Lynton, chairman of Snap and former CEO of Sony Entertainment, and Bob Mylod, chairman of Booking.com. Vine also appointed Noa Argamani, a survivor of Hamas captivity, as Platform Manager to lead its entrepreneur community and portfolio connections.
Reiner framed the fund around the U.S.-Israel corridor, arguing that American capital and frontier models combine with Israeli infrastructure and application, defense and cyber capabilities. He said he expects the current generation of Israeli entrepreneurs to produce major IPOs and significant M&A. The firm states it will continue to pursue multi-billion-dollar opportunities at the earliest stages.
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