Israel’s Carrar to raise $18m for EV battery production line around Sderot frontline
The Israeli automotive startup plans to double its workforce and create its first plant near Sderot to produce EV battery packs with a cooling system to tackle heat dissipation
Israeli automotive startup Carrar, based in an industrial park around the city of Sderot, near the border with Gaza, is looking to raise $18 million in capital from investors to build the first production line for its battery-cooling technology for electric vehicles (EVs) and double its workforce.
Carrar last raised $5.3 million in April 2024, six months after the startup had to evacuate its headquarters as Hamas terrorists fired a rocket-propelled grenade that damaged part of its office building. About two weeks after the October 7, 2023, Hamas onslaught, the startup returned to the office, and continued to work with most of its employees and founders from Sderot or surrounding southern communities, amid constant rocket fire. Many employees were evacuated, and others were called up on reserve duty.
With the fresh funding, Carrar seeks to double its workforce from around 25 employees to about 50 over the next two years and tap pools of engineers in the south of Israel rather than traditional tech hubs such as Tel Aviv and Herzliya in central Israel.
Proceeds of the ongoing funding round will be directed to building the startup’s first EV battery system production line. This month, Carrar won a $4.6 million grant from the Israel Innovation Authority, which is part of the ongoing funding round to raise more than $18 million.
Electric cars are a green innovation, and their adoption is a major part of global attempts to tackle the climate crisis, but they come with a problem: their batteries. The challenges revolve around the charging time, lifeline, cost, and safety issues of batteries.
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Israel’s Carrar to raise $18m for EV battery production line around Sderot frontline, source
