Israeli start-up Modu is expected to close a round of funding in the next few weeks worth $100 million, according to Globes, an Iraeli business journal.

Modu was started 18 months ago by Dov Moran, who previously founded msystems, a company that was sold to SanDisk for $1.6 billion. So far, Modu has raised $20 million from Moran, but also outside investors, including Genesis Partners, Gemini Israel Funds, and SanDisk (NSDQ: SNDK). The investors in the latest round are undisclosed, but the Globes reports that it will be raised on a pre-money valuation of $150 million.

Modu is developing a cellphone that slips into a number of jackets to create a additional functionality, such as music players and cameras. No word on what the funds would be used for, but Reuters reported in February that the phone was going on sale with three service providers in Russia, Italy and Israel in October. By that time, the company expects top fashion houses to have developed phone jackets for style conscious users, and by January the phone is expected to have “modu mates,” or corresponding consumer electronics such as digital photograph frames, cameras, clocks or navigation systems to give such devices wireless connectivity.