Israeli technology-focused growth capital investor Viola Growth has co-led a $63 million investment along with Warburg Pincus into synthetic medical data startup MDClone.
The Israeli medtech company sells artificial databases that closely mimic real-world datasets. It has begun exploring markets outside its home country and into regions like Europe, Asia and the Persian Gulf.
Eran Westman, general partner at Viola Growth said, the firm was “very impressed” with MDClone’s progress and their vision for disrupting an important market.
MDClone has now raised $104 million from investors including aMoon, Lightspeed Venture Partners and Orbimed. It was founded in 2016, and has partnered with several agencies including the US Department of Veteran Affairs, National Institutes of Health and some of Israel’s best-known hospitals and healthcare companies.
The investment comes less than two months after The Capital Quest first reported that Viola Growth was looking to hit the road to raise its fourth—and largest—fund.
Viola Growth is part of the two-decade-old Viola Group. The group manages four other verticals—-early-stage fund Viola Ventures; Viola Credit; Viola Fintech; and Viola Partners, an exclusive investment fund with a diversified portfolio tailored especially for private investors, family offices and foundations.
Of these, Viola Ventures, which manages assets in excess of $1 billion, is the group’s flagship vehicle. Established in 2000, Viola Ventures was formerly known as Carmel Ventures. It rebranded to Viola in 2017 after raising $223 million for its fifth fund. In January, it announced closing its sixth fund at $250 million.
Viola Growth, which launched in 2008, manages assets worth around $730 million across three funds—Viola Growth Fund I, II and III. The first fund raised $164 million, the second closed at $274 million and the third at $290 million.
Viola Growth’s active portfolio includes Trigo, Bizzabo, Bringg, RapidAPI, Zoomin, Itamar Medical, Blue Dot and RR Media. The fund typically writes initial cheques of between $15 million and $25 million.
Taken together across all its verticals, Viola Group is one of the biggest tech-focussed venture capital firms in Israel and manages assets in excess of $3.5 billion.
The group invests across technology segments such as enterprise, software, artificial intelligence, cloud infrastructure, fintech, frontier technologies, big data and digital media.
Across all of its investment verticals, the Viola Group has backed more than 200 companies. Of these, at least a dozen companies have become unicorns, with valuations in excess of $1 billion. These include IronSource, Payoneer, Pagaya, Outbrain, Similarweb, Redis Labs and Immunai.