Entrée Capital has secured $300 million across two new funds, pushing its total assets under management to $1.5 billion. The firm plans to channel most of this capital into pre-Seed, Seed, and Series A deals.
The raise strengthens Entrée Capital’s position at a moment when AI is reshaping the venture landscape. Avi Eyal, the firm’s co-founder and managing partner, believes the next shakeout will hit startups that fail to transition their products to an AI-first world.
He says the $300 million pool is split by design. About $125 million will focus on early deals, with enough reserve capital to support top performers. The remaining $175 million targets later-stage rounds, especially A and B stages, where the firm has seen strong results since it began entering deals it initially missed.
Entrée expects to make 25 to 30 early-stage investments. Some will be led by the firm, while others will be collaborative. Eyal stresses that almost half the early fund is set aside for follow-ons, since breakout companies often need substantial capital as they scale.
The later-stage strategy continues the approach Entrée adopted in 2020. The firm joins once companies have more traction, clearer product-market fit, and stronger visibility into long-term performance. Eyal says this gives Entrée the advantage of seeing the full picture before writing larger checks.
Entrée Capital’s track record backs up this approach. The firm has invested in more than 180 companies, including monday.com, SeatGeek, Gusto, Rapyd, Riskified, Coupang, Deliveroo, PillPack, Breezometer, and Glovo.
It has returned more than $3 billion to investors, with over 43 exits and IPOs. These results helped Entrée earn the top spot on the Forbes EMEA VC Midas List and a top-20 ranking on the global list.
Eyal says the firm continues to invest across four main areas. Deep tech remains a long-term focus, including quantum computing. Crypto infrastructure and security also play a key role. The largest segment is business and corporate software, especially AI-driven SaaS and cyber. Defense tech has become a powerful fourth pillar, guided by general partner Ran Achituv.
As capital flows shift, Eyal warns that valuations in the private market have drifted far from reality. He points to Airtable’s $12 billion valuation, noting it is a third the size of monday.com. He believes private valuations will need to realign with public-market fundamentals.
He also agrees that a bubble has formed in Israeli cybersecurity. Many companies raised capital at prices that no longer match public-market valuations. While giants like Google can afford to buy standout players such as Wiz, most public cyber companies are nowhere near the valuations seen two years ago.
Entrée Capital has spent the past 15 years building a team designed to support founders beyond the check. The firm now includes seven partners, four of them general partners: Ran Achituv, Yoni Osherov, Eran Bielski, and Avi Eyal. They are supported by platform, finance, marketing, and R&D teams working closely with portfolio companies.
With $300 million in fresh capital, the firm is doubling down on the founders who can adapt quickly to the AI shift. Eyal believes the companies that embrace this transformation will define the next decade of global tech. Entrée Capital wants to be there at every step, from the first check to the moment they scale.
