NRGene, an AI-based genomic company operating in the agricultural and livestock industry, announced today that it has successfully completed its initial public offering on the Tel Aviv Stock Exchange (TASE). NRGene raised ~NIS 100 Million (~US$30 Million), with a post-money valuation of circa NIS 370 Million (~NIS 420 Million on a fully diluted basis). Leading institutional entities in the Israeli market have invested in the current IPO.
“We are proud to join the TASE and thank the investors for their trust and support, that led to a successful IPO. Going public is a significant milestone in the company’s plan for growth. The funds will be used to accelerate our growth, expand the company’s market share and create long-term collaborations. NRGene is operating in the rapidly growing plant and animal genomics market, which is expected to reach US$ 6.4 Billion by 2025,” said Asaf Levi, NRGene’s Chairman.
“NRGene’s groundbreaking technology has been already utilized in more than 250 projects globally, with leading agricultural companies such as Bayer and Syngenta. The company currently plans to expand its global activities and become an integral part of the optimization processes in agriculture and the food industry. We estimate that in the near future, NRGene will become a key player in this highly important and growing field,” said Dr. Gil Ronen, NRGene’s CEO and co-founder.
NRGene develops Artificial Intelligence software solutions which analyze genomics big data to enhance plants’ and animals’ natural breeding processes, without genetic engineering. NRGene’s technology allows its partners and customers to accelerate plants’ varieties’ development, while achieving increased yield, disease resistance, climate resilience and higher nutrition values. These improvements notably shorten breeding programs thus leading to significant cost reductions. In addition, company’s customers gain a competitive advantage by reducing their time to market and increasing their market share, according to NRGene.
NRGene already partners with several leading global companies from 30 countries and various industry verticals, such as in agriculture, food & beverages, cannabis, pulp and paper, rubber etc.
NRGene launched its AI technology in 2015, and endeavours to increase its revenues by 150%-250% during the next two years. NRGene’s business model, which is now expanding, was mainly based on long-term agreements with large industrial and agricultural companies. These companies adopted NRGene’s technology based on a subscription model to use its cloud software and services.
During 2020 NRGene adopted a new business model of joint IP development with its customers, in return for royalties from the sales of the co-developed products. NRGene has already signed several royalties-based agreements for the development and sale of seeds of maize, rice, chili pepper and tomatoes, the company said.
Dr. Gil Ronen is NRGene’s CEO and co-founder, Mr. Ehud Belder is NRGene’s CFO and Mr. Asaf Levi, founder and CEO of Flow VC, serves as the Chairman of the Board.