Although the window for IPOs on Wall Street has opened, some privately held tech companies prefer allowing employees to receive money for their shares on the private market. Employees at Israeli enterprise browser security company Island, are enjoying an exit worth 'hundreds of millions of dollars," according to an announcement by the company this morning.
Island did not disclose the name of the investor or the valuation of the company but sources close to the company say that between $250 million and $300 million was raised at a valuation of $5 billion - a similar valuation to its financing round last March.
In recent months, the "secondary" offering fashion that was prevalent in Israeli tech during the 2021-2022 bubble years has resumed, with investors showering hundreds of millions of dollars on veteran employees, founders, and veteran investors in order to gain a foothold around the shareholders' table.
The trend disappeared during the 2022-2023 tech crisis, and now it seems that many companies are taking advantage of the return of investors to the tech market to relieve pressure from veteran investors, employees, and founders seeking a partial exit. In recent months, companies such as DriveNets, Cato Networks, and Quantum Machines have completed large secondary rounds.
Island, which was founded Dan Amiga and Mike Fey, has 600 employees including 250 employees in Tel Aviv.
Published by Globes, Israel business news - en.globes.co.il - on September 16, 2025.
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