Appendix

Results of the Indicators that make up the High-Tech Index

The Startup Companies Sub-Index:

  1. Net New Companies: The sub-index is the net change in the number of Israeli companies operating in the high-tech industry. In other words, the number of Israeli high-tech companies that were opened minus the number of Israeli high-tech companies that were closed. 
  2. Number and Value of Companies' Capital Recruitments: The total sum raised and the number of transactions in which Israeli high-tech companies recruited capital from all investors – venture capital funds, angels and other investors.
  3. Number and Value of Exits: The number and monetary value of the exits in which Israeli high-tech companies participated. An exit is defined both as an Initial Offering (IPO) and as a merger or acquisition (M&A).
  4. Funds' Recruitments: The total yearly sum recruited by Israeli venture capital funds, the figure is an indicator of the future investments expected in Israel by the same funds.

 

Actual Value

Normalized Value
Year / Indicator  2015 2016 2017 2015 2016 2017
Value of Exits
(in billions of dollars)
8.85 5.47 7.78 0.76 -0.4 0.39

Number of Exits

134 120 126 1.86 0.92 1.32
Value of Companies' Capital Recruitment
(in millions of dollars) 
4307 4834 5278 3.63 4.45 5.15
Number of Company Recruitments 706 673 623 1.9 1.56 1.04
Funds' Recruitments
(in millions of dollars)
1503 1926.5 1558 1.91 2.99 2.05
Net New Companies 715 549 452 2.52 0.88 -0.07

 

The Mature Companies Sub-Index:

  1. Added Value: Defined as the difference between the gross output and total input. The sub-index was calculated as the sum of the added value in both high-tech industry and services (the computer and software sector and the R&D services sector that includes the startup companies).
  2. High-Tech Export: The total exports of industry and services in the high-tech sectors, including the startup companies' exports.
  3. Salaried High-Tech Employees: The number of salaried employees  in the high-tech industry, excluding those in the communications services sector.
  4. The Blue-Tech Index: The TA Global Blue-Tech Index that includes all the shares from the technology and biomed sectors. The index is calculated as an average of the daily closing indices for each year.
  5. The Number and Value of Secondary Offerings: The number and monetary value of the public offerings performed by the Israeli high-tech companies whose shares are listed for trade (secondary offerings). These variables describe the continued growth in value of Israeli public companies. 
  6. The Number and Value of High-Tech Acquisitions: The number and monetary value of merger and acquisition transactions completed by the Israeli high-tech companies, where the acquired company is not necessarily Israeli or technological. 

 

Actual Value

Normalized Value

Year /  Indicator 

2015

2016

2017

2015

2016

2017

Added Value (in millions of shekels, current prices)

117,471

119,444

126,488

2,300

2,450

2,980

Salaried High-Tech Employees

258

270

277

2.82

3.74 4.21
High-Tech Exports (in millions of dollars) 40135 41492 44817 1.82 2.05 2.62
Blue-Tech Index – Yearly Average 351.6 334.92 368.57 0.69 0.42 0.97
Number of Secondary Offerings 34 19 22 2.08 0.39 0.73
Value of Secondary Offerings (in millions of dollars) 2432 639 878 0.99 -0.51 -0.31
Number of High-Tech Acquisitions 75 71 62 2.65 2.14 0.99

Value of High-Tech Acquisitions (in millions of dollars)

7493 8328 921 0.97 1.22 -0.93