Fantasy gaming platform Dream11 on Tuesday won the IPL title sponsorship rights with a bid of Rs 222 crore, replacing Chinese mobile phone company Vivo for a four and a half month deal.
Dream11 is a fantasy sports platform that allows users to play fantasy cricket, hockey, football, kabaddi and basketball and currently hosts over 8 crore users on the platform.
However, Dream11, which was founded in 2008 by Harsh Jain and Bhavit Sheth, has a Chinese connection.
Dream11, India’s only gaming unicorn, is valued above $1 billion. The current management including promoters and ESOPs own 35-40 percent. Kalaari Capital, Multiples and Think Investments own approximately around 40 percent and Tencent owns less than 10 percent. The balance is held by many investors in small stakes.
Coming to financials, Mumbai-based company's revenue took a 3X jump in FY18, going up from Rs 230 crore to Rs 800 crore, according to Tracxn. Also, the company's losses widened to Rs 130 crore from Rs 65 crore in FY18.
In 2018, Dream11 announced a partnership with ICC (International Cricket Council), Pro Kabaddi League, International Hockey Federation (FIH) and Big Bash League (BBL). The same year, it also roped in Indian cricket team wicket-keeper and former captain Mahendra Singh Dhoni as the brand ambassador.
Tencent, know for its popular messaging app WeChat, has more than 10 investments in India, including Flipkart, Ola, Swiggy, and Byju’s Classes.
First Published: IST