Veev, an Israeli startup that develops modular prefabricated homes, is in danger of shuttering. Calcalist reported that the company informed its remaining employees that after a failure to raise new capital, it may be forced to shut down.
Veev has raised as much as $600 million in investments, yet it could not withstand the worldwide financial crunch that came as a result of the Russian invasion of Ukraine. One year ago the company was already forced to layoff about 30% of its workforce
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In a statement, Veev explained that an attempt to raise ne capital was thwarted due to the ongoing fighting in Gaza.
“Veev was in the process of raising capital, which was canceled at the last minute. In light of the current market situation in Israel and globally, it was not possible to secure additional funding,” the company said. “Therefore, the current entity of the company will be closed in the coming days and transferred to an assignee who will be in charge of the assets and their sale in the U.S. In the meantime, until a buyer is found for the assets, the company’s operations will continue. At this stage, the company’s employees in Israel will continue to work.”
Veev was founded in 2008 by CEO Amit Haller, CPO Ami Avrahami, and CRO Dafna Akiva in Tel Aviv and San Mateo, California. In 2017, the company turned its focus to modular construction, designing prefabricated panelized wall systems that are constructed off-site at its Union City factory.
Veev’s product solution controls the entire process, from permission to assembly and utility connections. The pre-inspected walls are delivered to the site with their cutting-edge plug-and-play system. Recently, Veev successfully completed a 78-unit housing project in conjunction with the City of San Jose in less than 90 days.
Veev’s mission is to make the construction process four times faster, greener, and at a cost, half that of the industry standard by designing, manufacturing, and assembling modular multifamily communities and auxiliary dwelling units (ADUs).
Material selection results in a 47 percent reduction in CO2e emissions compared to conventional construction materials, which means that a Veev home’s carbon footprint is nearly half that of a conventionally constructed home.
The company’s target for 2022 is to further reduce the carbon footprint of a Veev home by 25%. Veev claims that its housing materials, ranging from Light Gauge Steel (LGS) framing to High-Performance Surface (HPS), are lighter, stronger, and more sustainable than wood and drywall, with almost no waste.
Two years ago Veev established a partnership with Lennar to construct 102 attached houses in Northern California.
