Red Dot Capital Partners, an early-growth venture capital fund based in Israel, has completed the first closing of its third fund for $250 million. The fund focuses on investing in Israeli companies that have demonstrated first signs of product market fit and have reached revenues of $1-5 million. The fund invests across various tech sectors, including enterprise software, fintech, and cybersecurity. Red Dot Capital Partners’ first fund launched in 2016 with $151 million, ranking among the top 5% of funds globally for its vintage. Its second fund launched in 2020 with $217 million and has already generated returns.
Some notable investments by Red Dot Capital Partners include Global-e, Armis, Granulate, Coralogix, Travelier, Quantum Machines, Paragon, Trigo, Ctera, EverC, and Supplant.
Red Dot Capital Partners is considering raising funds from local institutional bodies in Israel, a move that would be significant for the local market. The fund values companies that have a substantial presence in Israel, such as a development center, rather than solely relying on Israeli entrepreneurs based in other regions.
