Organizational learning company Shamaym is reaching for the sky

Shamaym, a company founded by former Israel Air Force (IAF) pilots, published its prospectus Sunday ahead of an IPO on the Tel Aviv Stock Exchange. The company, headed by director Ofir Paldi and president Eliezer Shakedi (Formerly IAF commander and El Al CEO), is aiming to raise tens of millions of shekels at a value of NIS 100 million (over $30 million).

Shamaym has developed an artificial intelligence-based platform that helps organizational learning through a research-based process, similar to the existing practices used in the Israeli Air Force.

Shamaym is still in its infancy in terms of business performance. The company recorded revenue of $1.37 million in 2020, a 27.4% decrease compared to the previous year. The decline is explained by the change in the company's revenue model and a shift from consulting to a software-as-a-service (SaaS) model. However, the bottom line is that Shamaym lost $1.61 million in 2020 compared to $217,000 in 2019.

Nonetheless, Shamaym has ambitious plans. The company cites a report by Grand View Research from last August, stating that the global productivity management software market is expected to grow from about $46 billion in 2019 to about $100 billion by 2027.

The company stated that it started the current year with about 60% growth at an annual recurring revenue (ARR) of around $400,000. Furthermore, the company's backlog (as of the prospectus' publication), has grown to about $981,000, reflecting a threefold increase since the beginning of the year.

The company is expected to leverage the IPO for its daily management, with an emphasis on developing its marketing and sales in North America, as well as for expanding the company's R&D. The IPO is led by Aharon Samra and Assaf Dagan of Apex Issuances and Nadav Raban of Rosario Capital, and is accompanied by Adv. Amir Asali of S. Horowitz & Co. and CPA Eli Barda of Ernst & Young.

So far, Shamaym benefited from investments totaling $1 million from several top investors including Yoel Chesin, Gigi Levy, and Zvi Agmon, as well as $2.2 million in grants from the BIRD Foundation and the Israeli Innovation Authority.