Dream Sports, which owns on the net fantasy sports platform Dream11, has closed a $400-million secondary investment round led by new investors TCV, D1 Capital Partners and Falcon Edge. Post this fund-raise, the firm’s valuation has jumped more than $4 billion, a supply stated. The corporation had raised $225 million at a valuation of $2.5 billion in September final year.
The present financing round also marks TCV’s initial investment in India. TCV has invested in international tech organizations such as Netflix and Airbnb.
Some of Dream11’s early investors, such as Multiples Alternate Asset Management and Kalaari Capital, are understood to have sold components of their stake, generating way for the new investors. However, Chinese backer Tencent continues to hold a single-digit percentage stake in the corporation. The round also saw participation from current investors Tiger Global, ChrysCapital, TPG Growth, Steadview Capital and Footpath Ventures, Dream11 stated in a statement.
The corporation claims that it is the biggest investment in the Indian sports tech ecosystem to date. “We have created the fantasy sports category in India to drive digital engagement to real-life sporting events and bring fans closer to the sport they love,” stated CEO & co-founder Harsh Jain.
Dream11 turned a unicorn, hitting a valuation of more than $1 billion following a secondary investment by Steadview Capital worth $60 million in April 2019. Dream11 that has almost 10 crore customers had bagged the title sponsorship for the Indian Premier league (IPL) 2020 season with a winning bid of `222 crore.
In a current interview with nearby media, Jain had stated that even even though the firm has turned lucrative, it plans to diversify its business enterprise. Unlike numerous other start out-ups that are gearing up for an initial public providing (IPO), it has no such plans as of however.
The size of the Indian on the net gaming market was estimated to be $1.1 billion in 2019. Analysts at Deloitte count on the segment to develop at a CAGR of 40% till 2022, taking the marketplace size to $2.8 billion. The development would be mainly driven by mobile gaming as 85% of the on the net gaming in India requires spot on mobile, they stated.