Iron Nation, a venture firm founded in the aftermath of the October 7 attacks to support Israeli startups facing acute financial disruption, has launched a $60 million second fund, with $50 million already committed. The new fund will invest in Israeli startups from seed through Series B.
Originally created as a rapid-response investment vehicle for startups hit by funding freezes and mass reserve duty call-ups, Iron Nation has since evolved into one of Israel’s most active early-stage investors. In 2024, its first $20.4 million fund backed 24 companies.
The firm’s transition from emergency support initiative to institutional venture capital fund has been reinforced by early portfolio performance. One of its portfolio companies, illumex, was acquired by Nvidia in March 2026, less than two years after Iron Nation’s initial investment.
Following that success and rising demand from investors, the firm decided to raise a second fund structured as a traditional venture capital vehicle, bringing together private investors from around the world, North American federations, Jewish organizations, and institutional backers.
“The resilience of Israeli entrepreneurs has proven stronger than market risk perception,” said managing partners Chen Linchevski, Gil Friedlander, and Jason Wolf. “What began as an urgent response to crisis has evolved into a long-term investment opportunity driven by innovation, execution, and global demand.”
Iron Nation II will focus on scale-up-stage companies with proven products, post–product-market fit and strong growth potential. The fund is sector-agnostic, with emphasis on advanced technologies beyond traditional cybersecurity and AI, including medtech, defense tech, and deep tech.
A key component of the strategy is a U.S. market access initiative through a partnership with the state of Indiana. The collaboration is designed to help Israeli startups enter the U.S. market, providing access to both dilutive and non-dilutive funding, tax incentives, and a regional ecosystem that includes companies such as Eli Lilly and IU Health. Indiana has committed $15 million to the initiative.
“Indiana is committed to competing and winning in the industries shaping the future,” said Indiana Gov. Mike Braun. “Our partnership with Iron Nation reflects our focus on combining public leadership, private capital, and global innovation to drive long-term economic growth.”
Luke Messer, former U.S. congressman from Indiana and Iron Nation’s U.S. representative, added that Indiana offers Israeli startups a strong platform for U.S. expansion through industry partnerships and ecosystem support.
About Iron Nation
Iron Nation is a multi-stage venture capital firm focused on identifying and scaling Israeli technology companies with global growth potential. Founded in response to the needs of Israel’s tech ecosystem following the Oct. 7 attacks, the firm has evolved into an institutional investor with a growing portfolio of growth-stage companies.