|• In a heartfelt email to investors, against a backdrop of Israel at war, Trendlines Group's co-chair Todd Dollinger talks about Startup Shield, a special purpose vehicle which the Singapore-listed company has launched.
• It represents an "outstanding opportunity for investors to share in a portfolio of substantially de-risked companies at attractive, discounted valuations."
• This is open to accredited investors only. The minimum investment amount is US$75,000. Read more below what he sent ...
There's no denying it: these are bad times in Israel – we all feel the tension and the pain.
360,000 reservists on emergency army duty, including my son-in-law Dvir who was ordered to report to his base hours after the attack on Israel – more than a month ago; he was on the Gaza border before night fell. He is a combat soldier – an old soldier at 37. His unit pursued terrorists in Israel and has been moving in and out of Gaza. Dvir and my daughter Hannah have three children, their oldest is 6 years old. We pray for Dvir and his fellow soldiers to come home to us safely.
"Our goal is to extend the financial runways of otherwise strong companies so that these companies will survive, progress, and be positioned to raise additional capital when market conditions become more favorable."
-- Todd Dollinger
At great expense, and with the support of our friends, we will defeat Hamas – without question. Less clear is the fate of Israel's young companies – the sorts of companies that caused Israel to become known as the start-up nation, the companies that are Israel's economic future.
For the sake of Israel's startup economy and to bridge our companies to better investment times, Trendlines has established Startup Shield, an Israeli limited partnership special purpose vehicle (SPV), to invest in some of our outstanding portfolio companies.
Our goal is to extend the financial runways of otherwise strong companies so that these companies will survive, progress, and be positioned to raise additional capital when market conditions become more favorable. This represents an outstanding opportunity for investors to share in a portfolio of substantially de-risked companies at attractive, discounted valuations.
Key aspects of Startup Shield include:
- Investment in ~15 – 20 Trendlines portfolio companies
- Investments per company from ~$250,000 - $1,000,000, giving companies a minimum 12 months' runway
- Trendlines will not set valuations
- Generally, investments will be convertible SAFE instruments with the SAFEs converting at the terms of the next qualified round, but at a discount of at least 20% and a valuation cap
- Where an unrelated lead investor sets a valuation, we may join a round on those terms
- Minimum LP investment is $75,000; 100% of investment due at closing; funds to be quickly invested
- Trendlines will not take a management fee or carried interest from Startup Shield
- Trendlines will bear most organizational expenses other than legal, external reporting, and placement agents
- Ongoing expenses will be limited to direct fund expenses such as accounting, reporting, audit, and legal fees
- Semi-annual reports, audited annual financial reports, and K-1s will be provided to investors
- Investment in Startup Shield is limited to accredited investors
A brief introduction to Startup Shield is attached. If you are interested in learning more, I will send you the Startup Shield Term Sheet and answer any questions you may have. Let me know...(email:
It is important for us to emphasize that you should not make this investment instead of making donations to worthy organizations in Israel. We all need to do all that we can.
We need to act now.
All of us at Trendlines wish for quieter days and better times for all...
Potential Investee Companies
These companies are a sample of our outstanding opportunities. Their most important challenge today is funding in an intensely difficult environment. All were established by The Trendlines Group and we have invested in all of them. We know these companies; we have directors on the boards of all of these companies. We are committed to their success. Join us.
See Powerpoint for Startup Shield here.