Tech Nation: Chinese Tech Figures to Invest $50 Million in Israeli Startups

Payoneer to buy Armor Payments, a U.S.-based escrow startup; Next Insurance raises $13 million.

Israeli high-tech workers. Rare is the Ethiopian-Israeli among them.
Alon Ron

Chinese tech figures to invest $50 million in Israeli startups

The founders of some of China’s largest internet companies intend to put $50 million into Israeli high-tech through a new venture capital fund. The fund, whose backers include the founders of international marketplace Alibaba and search engine Baidu, seeks to help Israeli startups build contacts in China. The fund plans to invest in some 15 Israeli Internet, Internet of things, big data and financial tech startups. The fund will be managed by Dovi Ollech, a former adviser to the Economy Ministry’s Chief Scientist. (Inbal Orpaz)

Payoneer to buy Armor Payments, a U.S.-based escrow startup

Israeli payments platform developer Payoneer is buying U.S. startup Armor Payments, it announced on Tuesday. Armor develops a system for guaranteeing payment security in business-to-business transactions. Payoneer declined to say how much it will pay for Armor, whose operations and seven employees are to be folded into Payoneer. Payoneer develops a platform enabling customers and businesses to make payments from different countries and in different currencies. It stated that the acquisition will reduce the suspicion and uncertainty when its customers make purchases from unfamiliar businesses. (Eliran Rubin)

Next Insurance raises $13 million

Next Insurance concluded its seed fundraising round after raising $13 million, it announced on Tuesday. The Israeli company develops an Internet platform that enables small businesses to build insurance polices. The fundraising round was led by investor Oren Zeev and venture capital funds TLV Partners and Ribbit Capital. Founders Guy Goldstein, Nissim Tapiro and Alon Huri, who founded mobile payment company Check in 2007, say their newest company will enable small businesses to buy insurance policies online in a matter of minutes, saving on costs such as agents and unnecessary coverage. (Eliran Rubin)