Iron Nation, a venture firm launched in the aftermath of the Oct. 7 attacks to support startups affected by the war, said it has raised a $60 million second fund, with $50 million already committed, as it expands its role in the tech investment landscape.
The new fund will invest in startups from seed through Series B stages, marking a shift from the firm’s initial focus as an emergency funding vehicle during a period of widespread financial disruption and mass military reserve call-ups.
Founded in response to the crisis facing the tech sector, Iron Nation deployed $20.4 million in its first fund in 2024, backing 24 companies. The firm has since transitioned into a more traditional venture capital model, citing strong early performance. One of its portfolio companies, illumex, was acquired by Nvidia in March 2026, less than two years after the initial investment.
The latest fundraise comes alongside a broader push to expand activity in the United States through a new initiative announced Monday by the Indiana Economic Development Corporation. The program, known as Iron Nation Indiana, aims to connect local companies, health systems and universities with startups.
Under the initiative, Indiana has committed $15 million, with additional funding expected from Iron Nation and its partners, bringing the total to about $60 million. The program is designed to help startups establish U.S. operations, offering access to funding, tax incentives and partnerships with companies including Eli Lilly and the IU Health system.
The effort reflects a growing emphasis on linking innovation with regional economic development in the United States while providing startups with access to new markets. State officials said the initiative is part of a broader strategy to attract high-growth companies and strengthen economic ties.
As of early 2025, at least nine companies founded by Israelis have established or planned operations in Indiana, employing more than 500 workers, according to state data.
Iron Nation said its new fund will focus on companies with proven products and growth potential, including in sectors such as medtech, defense technology and other advanced industries, as it continues to position itself as a long-term investor rather than a crisis-response vehicle.