Passion Gaming, the gaming company which owns and operates online gaming startup RummyPassion, has raised around ₹21 crore ($3.75 million) in a new funding round from UK-based Stride Gaming.
As a part of this funding deal, the company has divested 51 percent stake in itself to Stride Gaming. The investment will now enable Passion Gaming to achieve faster growth, says the company.
The proceeds of this round will be used by the company to strengthen its marketing, technology and customer service teams. Commenting on the development, Stride Gaming CEO Eitan Boyd said,
We are delighted to announce this investment which gives Stride Gaming a highly attractive and strategic yet low-risk entry to a rapidly growing and legalised market with enormous potential. We have been monitoring the Indian market for some time as we see strong dynamics in the current environment as well as long-term growth potential. Our UK market experience and proprietary technology advantage, combined with Passion Gaming’s market positioning and operational focus create a highly attractive proposition.
Stride Gaming may also choose to acquire the remaining 49 percent stake in Passion Gaming from existing shareholders over the next three to five years, depending upon the future financial performance of RummyPassion.
With this investment, Stride Gaming has been granted rights to appoint three directors to the Passion Gaming board. It is currently focussed on expanding its presence in emerging markets like India, stated Boyd.
Bobby Garg, founder and CEO of Passion Gaming, said,
Working with Stride Gaming places us in a strong position to bring international standards to the rapidly growing Indian gaming market, as we continue to focus on player acquisition, engagement and loyalty.
Passion Gaming was launched in 2015. It is an online gaming platform that offers digital card games like online rummy to its users. Through Stride Gaming, the company is now planning to strengthen its footprints in the UK market.