Dream11 becomes India’s first gaming unicorn

Dream11, a fantasy sports start up, has become the country’s first gaming unicorn, attracting a valuation of $1 billion or more, local media reports.

The valuation followed an investment by Hong Kong and London-based Steadview Capital.

Dream11’s existing backers, Kalaari Capital, private equity firm Multiples Alternate Asset Management and San Francisco-based hedge fund Think Investments, sold a portion of their stakes in the decade-old company, valuing it at $1-$1.5 billion, local media cited sources as saying.

The secondary deal is in the range of $60 million, sources said.

“We are excited to welcome Steadview Capital onboard…Providing great returns to our shareholders, whether investors or Dreamsters, is very important to us and further reinforces their belief in Dream11. We will keep working hard and are targeting to end the year with 100 million users,” CEO Harsh Jain was cited as saying.

The latest investment also comes about eight months after Dream11 closed a $100 million equity financing round led by Tencent, the world’s fifth-largest internet company, which ET first reported in its edition dated April 19 last year.That investment valued the company at about $500 million.