Turkey’s Dream Video games, maker of Royal Match, valued at $5 billion in landmark exit for early backers 

Istanbul-based Dream Video games, the developer of hit cell video games Royal Match and Royal Kingdom, has secured a strategic funding from personal fairness agency CVC. The deal reportedly values the Turkish agency at practically $5 billion. It was beforehand valued at $2.75 billion in early 2022.

The transaction will present liquidity to Dream Video games’ preliminary enterprise capital backers, together with Balderton, Makers Fund, Index Ventures, and IVP, who will exit after greater than 5 years of funding. CVC will develop into Dream Video games’ sole fairness accomplice, whereas the corporate’s 5 founders will stay its majority shareholders, in response to the Monetary Instances.

Funds managed by Blackstone and different buyers are offering debt financing as a part of the deal. CVC and Blackstone are committing a complete of greater than $2 billion, the publication reported.

Based in 2019 by cell recreation trade veterans Soner Aydemir, Ikbal Namli, Hakan Saglam, Eren Sengul, and Serdar Yilmaz, Dream Video games rose to prominence with Royal Match, which dethroned long-running hit Sweet Crush Saga because the world’s most profitable cell recreation in mid-2023. The corporate launched its second title, Royal Kingdom, in November 2024, that includes an all-star advertising marketing campaign with celebrities together with LeBron James, Jimmy Fallon, Amy Poehler, and Shakira.

“We’re extremely happy with what our group has constructed thus far, and we’re excited to enter this subsequent section of progress with the help of our new buyers,” stated Soner Aydemir, Co-Founder and CEO of Dream Video games. “Their expertise investing in category-leading firms, and track-record of supporting the long-term imaginative and prescient of founding groups, make them superb companions as we proceed to boost our international management.”

Soner was beforehand the Head of Product at Peak Video games, one other Turkish gaming large that was acquired by Zynga for $1.8 billion in 2020.

Nick Clarry, Managing Associate and Head of CVC’s Sports activities, Media and Leisure group, commented, “Dream Video games has created a few of the world’s most beloved and commercially profitable IP – together with King Robert, King Richard & The Darkish King. We’re more than happy to have the chance to work with this world-class administration group, and assist them notice their formidable imaginative and prescient within the Royal Universe.”

The funding comes at a time when exits have develop into scarce for enterprise capital companies amid inventory market turbulence. In keeping with FT, Dream Video games’ method differs from most cell builders by specializing in creating characters and storylines that assist retain customers whereas sprucing its apps to ship extra satisfying participant experiences. Its video games are freed from adverts, producing income from in-app purchases.

Monetary Instances quoting numbers from  UK’s Corporations Home registry reported that Dream Video games posted revenues of $1.5 billion in 2023, up from $644 million the earlier yr, although the corporate additionally spent $1 billion on advertising and different distribution bills, leading to a $130 million pre-tax loss.

The transaction is topic to regulatory approvals and is anticipated to be accomplished within the third quarter of 2025. With the brand new funding, Dream Video games plans to proceed increasing its Royal universe and develop modern new titles whereas specializing in delivering high-quality cell gaming experiences.

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