Protego Ventures Secures $125 Million for Israeli Defense Tech

The firm, which drew significant backing from Ares Management, focuses on companies addressing critical security gaps. By limiting the fund size to $125 million—falling short of its initial $150 million goal—Leshem and Moser intend to maximize returns on high-impact investments. This strategy appears validated by their early portfolio company, drone manufacturer XTEND, which recently debuted on the NYSE. The firm is already scouting for a second fund, slated for early 2027, to expand its reach into early-growth American defense startups.

Leshem brings a decade of military and intelligence experience to the partnership, having served as a reservist during the 2023 conflict. Alongside Moser, who maintains her role at AnD Ventures, the pair is navigating a competitive landscape where both private capital and government-backed initiatives, such as those from Adir Capital and Sling Capital, are vying for influence. Despite the influx of new players, Protego maintains that its deep military ties and operational expertise provide a distinct advantage in identifying technologies that prioritize battlefield efficacy.