A leading venture capital firm has chosen Israel for the site of its first location outside the US. Canaan Partners, an early stage venture investor with more than $2.2 billion under management, said Tuesday it opened an office in Herzliya Pituach, headed by Izhar Shay, a 20-year industry veteran who joined the firm as a venture partner. "Israel has long been a center of innovation in both the technology and healthcare industries," Shay said. "Given my long-standing relationship with Canaan Partners, I am confident that we can fund promising Israeli start-ups and help them grow into the global markets." Shay previously was chairman and chief executive officer of V-Secure, a provider of intrusion prevention systems; founder, president and CEO of Business Layers; and vice president of business development with the BRM venture capital group. The firm hopes to make three to five investments in Israeli companies a year. Typical investments range from $2 million to $4 million. The move marks the the first time Canaan, which catalyzes development in emerging innovative technology and healthcare companies, has established a presence outside of the US, where it has offices in California and Connecticut. Founded in 1987, Canaan Partners has invested in more than 210 companies including, Business Layers, Mobilitec and UltraGuide, which have operations in Israel Canaan also announced plans to open an office in India by early 2006 to expand its investment activity in that region.