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M&A

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CES 2013 Preview: What Happens in Vegas, STAYS in Vegas

This week marks the annual orgy of PR excess known as the Consumer Electronics Show. More than 150,000 (mostly male) visitors, many sporting T-shirts with mysterious acronyms like “4K in HD3D”, will alternate between 2 million square feet of exhibition space and the craps tables. Unfortunately for the 3,200 exhibitors, their marketing dollars will be squandered. Although I will predict a few likely trends, when it comes to CES, what happens in Vegas really does STAY in Vegas.
Chart 2- Israeli High-Tech Companies- Capital Raised from Investors vs. Proceeds from M&As & IPOs (2002-2011)
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Exits in Israel 2011: IPOs Pool is Dry, Buy M&A Activity up 134%

On aggregate, putting a dollar into Israeli high-tech could yield you more than double the returns (if only these things worked on aggregate!). In the last decade, Israeli high-tech companies raised approximately $15 billion from investors, compared to more than $37 billion received in M&A and IPO exits, according to the latest IVC report.