Funding round
AI21 Series B
AI21, which works in enterprise AI system development in Tel Aviv, raised $64M in a Series B round announced on 12 Jul 2022, led by Ahren Innovation Capital, at a $664M post-money valuation. 10 firms took part. It is AI21's third venture round on record; the one before was a Series A in Nov 2020.
$64M
Amount raised
$664M
Post-money valuation
$600M pre-money
10
Investors
1 lead
9.6%
Stake sold
new money over the post-money
Valuation
What this round says about the price
This round priced AI21 at $664M after the new money. The $64M bought investors about 9.6% of the company. It came 20 months after AI21's Series A. It is 11% of the $607M AI21 has raised in the venture rounds on record. AI21 raised again 16 months later: a Series C round of $208M in Nov 2023, at $1.40B post-money.
Investors
Who put money in
Ahren Innovation Capital led the round with 9 other firms.
Lead investor
- backs 19 venture-backed companies new investor
Also in the round
- backs 25 venture-backed companies new investor
- backs 75 venture-backed companies new investor
- backs 11 venture-backed companies new investor
- Alumni Ventures new investor
- backs 41 venture-backed companies new investor
- Insight Partners backs 548 venture-backed companies new investor
- backs 9 venture-backed companies new investor
- backs 196 venture-backed companies new investor
- Mark Leslie
Use of proceeds
What the money is for
According to the announcement, the money goes to hiring, product development, geographic expansion, sales and marketing, scaling operations and working capital.
- Hiring
- Product development
- Geographic expansion
- Sales and marketing
- Scaling operations
- Working capital
Comparable rounds
How it compares
44 Series B rounds in Software Development Services within a year either side disclosed an amount; the median was $27M, and this round was 2.4 times the median. The closest in time, other companies' Series B rounds in Software Development Services:
| Company | Announced | Amount | Post-money | Led by |
|---|---|---|---|---|
| Software Development Services | 25 Jul 2022 | $40M | not disclosed | Valar Ventures |
| Software Development Services | 31 Aug 2022 | $63M | not disclosed | FTV Management Company and Headline |
| Software Development Services | 29 Aug 2022 | $29M | not disclosed | Northstar Group and Alpha JWC Ventures |
| Software Development Services | 7 Sep 2022 | $40M | not disclosed | Georgian |
| Software Development Services | 17 May 2022 | $25M | not disclosed | Colinton Capital Partners and OIF Ventures |
| Software Development Services | 21 Sep 2022 | $16M | not disclosed | Korea Development Bank and Premier Partners |
| Software Development Services | 16 May 2022 | undisclosed | not disclosed | 교보증권 and 미래에셋벤처투자 |
| Software Development Services | 17 Oct 2022 | $118M | not disclosed | not named |
Sources
Where this comes from
Reported by 6 sources.
Questions
Frequently asked
How much did AI21 raise in its Series B round?
AI21 raised $64M in its Series B round, announced in Jul 2022.
Who led AI21's Series B round?
Ahren Innovation Capital led it, with Walden Catalyst, Pitango, TPY Capital, Alumni Ventures and Future Ventures and 4 more.
What was AI21's valuation at the Series B round?
$664M post-money ($600M pre-money).
How does it compare with other Series B rounds in Software Development Services?
44 Series B rounds in Software Development Services within a year either side disclosed an amount; the median was $27M, and this round was 2.4 times the median.
Did AI21 raise again after this round?
Yes: a Series C round in Nov 2023 of $208M at $1.40B post-money.