startupmania

The Viola Group will invest $17 million in the start-up AdsMarket from Tel Aviv, a company which specializes in web-based advertising. Out of the investment, $12 million will be used to purchase company stock and $5 million will be invested in the company. With the investment’s completion, the company’s net worth will total $80 million, and the new ownership will be laid out as follows: Ilan Shiloach, company chairman, will hold 29%, Viola Group will hold 21%, the Druker-Orzel group will have 16%, Trelovski group at 16%, Moyal group at 9% and AdsMarket employees will have 9%. Osnat Ronen and Harel Beit-On, partners in Viola, will join the company’s Board of Directors.

AdsMarket was founded in 2007 by Ofer Druker, who serves as group CEO, Adi Orzel, who acts as CEO of daughter-company Extend and second to CEO, and Kfir Moyal which acts as director. It employs about 140 workers, 120 of which work in Israel. According to a declaration made, the company should complete 2010 with an $80 million sales cycle, as opposed to $60 million in 2009, $36 million in 2008 and $7 million in 2007. It operates mainly in the European market and recently stepped into the American market.

According to Osnat Ronen, “the Viola Group has marked the internet advertising and media field as one which is interesting for investments, due to the high growth it has shown in the last couple of years and the unique global position Israel has acquired in that field.”

“The Viola Group has chosen to invest in AdsMarket becuase of the growth potential it sees in the company and its ability to keep strengthening its leading position in the fields and markets in which it operates, while being profitable. This is mostly due to its professional, dynamic and experienced team leading the company, which has brought it to its impressive accomplishments and will continue to march it forward.

According to Ilan Shiloach, “We have found, in the Viola Group, experienced partners that will lead, together with us, the company and help us achieve our future goals. Viola’s investment in AdsMarket will support the company’s continued growth, and will act as a base for entry to new markets, chiefly the American one, through expanding our marketing array and recruiting new employees.”

Translated by Itai Rosembaum