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Facebook buys Israeli start-up app-maker Onavo

The Facebook logo is displayed on a computer screen in Brussels April 21, 2010. REUTERS/Thierry Roge

(Reuters) – Facebook has agreed to buy start-up app-maker Onavo, the Israeli company said on its website on Monday, without giving any details of the deal.

The Facebook logo is displayed on a computer screen in Brussels April 21, 2010. REUTERS/Thierry Roge

Facebook is paying between $150 million and $200 million, the Calcalist financial news website said, making it the social media company’s biggest acquisition in Israel.

The company, founded three years ago, said that once the transaction closes, Onavo’s mobile utility application – which helps people cut mobile phone costs through more efficient use of data – will run as a standalone brand.

Onavo has raised $13 million in venture capital, according to Calcalist. Its investors are Sequoia Capital, Magma Venture Partners, Horizons Ventures and Motorola Mobility Ventures.

Onavo will keep its Israeli offices, making this the first time Facebook will run a research and development centre in Israel, according to the Haaretz news website.

When Facebook acquired Snaptu and Face.com, it transferred the employees to its own offices in California, where Onavo already has offices.

(Reporting by Tova Cohen; Editing by Louise Ireland)

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