One more firm from the disappointing wave of tech IPOs on the Tel Aviv Inventory Trade (TASE) in 2021 has reported monetary difficulties and streamlining measures. Auto-tech firm Cipia Imaginative and prescient (TASE: CPIA), which on the finish of 2021 raised NIS 68 million at an organization valuation of NIS 354 million, earlier than cash, has snice misplaced 93% of its market cap and is presently buying and selling at a market cap of simply NIS 55 million.
Cipia has notified the Tel Aviv Inventory Trade (TASE) that as a consequence of its monetary state of affairs and the ‘going concern’ qualification connected to its monetary studies, the corporate’s board of administrators has determined to undertake a streamlining plan to permit continued operations. In response to the notification will give attention to continued operations with current prospects and work on different strategic initiatives so far as the monetary state of affairs permits.
The streamlining plan features a main discount in operational bills and the shedding of fifty% of the work pressure. On the finish of 2024, Cipia had 62 workers together with 34 in R&D, 22 in advertising and marketing and 6 in administration and common positions.
The corporate says it’ll additionally cut back the variety of officers by termination of contracts. On the identical time, the administrators introduced a unilateral waiver of their salaries till the tip of 2025 (with out the suitable to return), excluding the exterior and impartial administrators who will obtain the minimal administrators’ remuneration stipulated by legislation. In response to the report, Cipia will proceed to attempt to increase sources of financing for its ongoing actions and can study “further operational and strategic steps, for the advantage of the corporate.”
Cipia, managed by CEO Yehuda Holtzman, is creating driver monitoring software program primarily based on AI pc imaginative and prescient expertise, which has been expanded from gesture recognition to investigate visible facial and behavioral indicators. The product is designed to watch driver conduct and updates in instances of fatigue and distraction.
The corporate, which started working in 2007, is managed with no controlling curiosity, and its shares are held by plenty of international and Israeli funding entities (together with Leon Recanati and Professor Eli Talmor, who serves as the corporate’s chairman). In 2024, the corporate’s income was $5.7 million, up from $5.4 million in 2023. Web loss was $8 million in 2024, in contrast with $9.1 million in 2023. Since its founding and thru till the tip of 2024, the corporate has “burned” over $100 million and had $5 million in its coffers at of the tip of 2024.
Printed by Globes, Israel enterprise information – en.globes.co.il – on April 21, 2025.
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