ALD Announces $50M Funding Following HUB Security Merger
Recently merged ALD announced a 50 million USD investment round, based on a 146 million USD valuation from leading institutional investors following its merger announcement with HUB Security, LTD.(”HUB”)
Upon completion of the merger, HUB shareholders will hold 51% of the new company (NewCo). The company’s name is expected to change from ALD to HUB Security and Eyal Moshe, CEO and co-founder of HUB Security will be appointed CEO of the newly merged company.
June 3rd 2021, Tel-Aviv, Israel - Today, ALD Advanced Logistics Development Ltd. (ALD), an Israeli publicly traded company at the Tel-aviv stock exchange, announced that it has completed raising 50 million USD from a number of Israel’s and international leading institutional investors. Since the company’s most recent merger with Tel-Aviv based cybersecurity firm HUB Security, the company has been valued at 146 million USD.
HUB Security was established in 2017 by veterans of the 81 and 8200 IDF Intelligence units by co-founders Eyal Moshe (CEO) and Andrey Iaremenko (CTO). Its shareholders include among others, AXA Ventures, the investment arm of the leading global insurance company AXA and the private investment fund OurCrowd.
As of [date], all the preconditions have been completed, including ALD’s general assembly that has approved the company’s merger with HUB by an overwhelming majority. Upon completion of the merger, the holding stake of HUB shareholders will be 51% and the company’s name is expected to change from ALD to HUB Security Ltd. (NewCo).
The company also announced early Tuesday that once the merger is complete, Eyal Moshe, HUB’s current CEO, will also become the CEO of NewCo. In addition, Eyal Moshe will become NewCo’s Controlling Owner, while the COO of the Company, Dotan Moshe will remain in his current position. ALD’s former CEO and Controlling Owner, Zigmund Bluvband, is set to be appointed Chairman of the Board and Mr. Andrey Iaremenko will remain as HUB CTO.
Executives at HUB Security stated that they have been following ALD’s activities for some time. As a substantiated company boasting a significant customer base both in Israel and overseas, ALD owns a well-developed sales infrastructure. HUB security sees the potential embedded within ALD as an appropriate platform for a successful merger, while working together on the basis of its well-developed customer base and excellent client relationships as fertile grounds for the next steps in the merged company’s growth in the cybersecurity market.
ALD is an established Israeli company that has been active in the software and consultancy industry for over 36 years and boasts a customer base of leading international organizations. The company has an annual revenue cycle of 110million NIS that enjoys steady, stable growth. The group itself provides services, consults and designs software in the area of critical systems reliability and safety.
Company clients are governmental organizations and international conglomerates that have been working with ALD for over 20 years. The company has about 600 employees and its offices are located in Israel. Among ALD’s most prominent clients are Lockheed Martin, Deutsche Bahn, Siemens, Embraer , and others.
HUB Security was founded in 2017 by former IDF intelligence corps personnel (including 8200 and 81 veterans). Among them is Eyal Moshe, now CEO, and Andrey Yaremenko, now CTO. Equity holders include AXA international insurance group, Venture Investor Ourcrowd and others.
The company specializes in cybersecurity technology that works to protect sensitive data that belongs to enterprise companies and organizations. It is also proprietor of an advanced cryptography based computation solution which prevents hostile infiltration and protects sensitive commercial information. HUB Security has 25 employees in offices in both Tel Aviv and New York.
HUB Security provides cybersecurity solutions for a variety of fields including AI, Data, Fintech and infrastructure. HUB Security’s cybersecurity platform is planned and manufactured by the company in Israel and provides organizations with military-grade security. The company’s working premise is that the systems it is protecting have already been hacked or infiltrated, and therefore the highest possible standard of protection must be made available to protect the most sensitive information.
Over the past year, HUB Security has signed several key partnership agreements, among them with the Israel Electric Corporation’s Cyber unit, with storage giant Seagate, Lloyd’s, and a collaboration agreement with Kudelski Security.
ALD (Advanced Logistics Development) is a long-standing, well-established Israeli company active in the field of software and security consulting for 36 years with a leading global customer base. The company has an annual turnover of approximately NIS 110 million, which has increased steadily over the years. The group is engaged in providing services, consultancy, and software in the field of critical systems reliability and safety. The company's customers are government bodies and Fortune 500 companies which worked with ALD for over 20 years. The company offices are located in Or Yehuda, Israel.
HUB Security views ALD’s broad and steadfast client base as an immense advantage and together with the trust HUB has from Institutional investors, they see the merger as grounds for leveraging the company towards more deals and raising the merged company’s value. A first deal by the merged entity has already been published recently, as the two companies reported a joint memorandum of understanding toward supplying cyber protection solutions to global insurance companies Arch and Marsh, at a volume that holds significant potential for the results of the merged company in 2021.