Dream Sports parent company raises $840 million in funding round

Dream Sports parent company Dream Sports raised $840 million at a valuation of $8 billion on Wednesday, and raised $840 million for the online fantasy gaming platform Dream 11's parent company. The funding round was led by investors such as Redbird Capital, Tiger Global, Falcon Edge, DST Global and D 1 Capital. TPG and Footpath Ventures also participated, making it one of the largest investments in the sports tech sector in the world, the company said in a statement.

The company closed a $400 million secondary funding round in March at a valuation around $5 billion.

In August, the Mumbai-based company made an initial allocation of $250 million for its company's venture capital and acquisitions arm, Dream Capital, to invest in sports, gaming and fitness-tech startups.

Dream Sports posted a profit of 181 crore in FY 2020 compared to a loss of Rs 87.8 crore in FY 2019.

According to Dream Sports' CEO and Co-Founder, Harsh Jain, said: "Our vision and mission is to create an entrepreneur-led virtuous cycle of investment, innovation and wealth creation for all stakeholders in the sports ecosystem, from fans to teams and leagues. The investors at DST Global are thrilled to partner with the Dream Sports family in their vision of building the leading end-to-end sports tech company in India, according to Rahul Mehta, Managing Partner at the DST Global, who is one of the investors in this new funding round.

On the transaction, Avendus Capital was the exclusive financial advisor to Dream Sports.

Dream Sports has a user base of 140 million and it wants to make a complete sports experience, including Sports Content, Commerce, Experiences, Fan Engagement including Sports Gaming and Esports Web 3.0 solutions, Fantasy Sports and Fitness Tech. The company has close to 1,000 employees.