With ban on gaming apps, venture funds, private equity firms face big losses

File image: Dream11, one of many largest fantasy sports activities platforms, is backed by buyers equivalent to Tencent, Kalaari Capital and Alpha Wave World, who’ve pumped in round $1.2 billion since 2014
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Hirurg

Enterprise funds and personal fairness companies equivalent to Tiger World, Kalaari Capital, Base Companions and others stand to lose substantial quantities on their investments in gaming companies with the federal government set to ban actual cash video games.

The gaming sector’s 5 main corporations, Dream11, Nazara Applied sciences, Zupee, Cell Premier League (MPL) and Games24x7, have been backed by marque names within the enterprise fund trade and have collectively raised round $2 billion.

Dream11, one of many largest fantasy sports activities platforms, is backed by buyers equivalent to Tencent, Kalaari Capital and Alpha Wave World, who’ve pumped in round $1.2 billion since 2014, when it raised cash from Suppose Investments and Kalaari Capital. In accordance with information supplied by Tracxn, Kalaari Capital has pumped in over $10 million into the corporate, although it made a partial exit subsequently.

Smrita Singh Chandra, former VP Coverage Communications at Dream11, wrote on LinkedIn, “the Promotion and Regulation of On-line Gaming Invoice, 2025, handed yesterday, criminalises platforms like Dream11, regardless of longstanding Constitutional safety for video games of talent below Article 19(1)(g). I’m stunned the Indian authorities selected to miss the worth this trade has created – India’s fantasy sports activities market is already $1.82 billion (2025) and projected to achieve $5.05 billion by 2030. These aren’t simply numbers, they replicate livelihoods, innovation in Indian sports activities, extremely expert jobs and a brand new era of digitally empowered sports activities followers.”

Cell Premier League (MPL) has acquired near $396 million in funding from buyers equivalent to Peak XV Companions, Instances Web and Google Ventures.

Nazara Applied sciences raised $128 million in funding from Westbridge Capital, Sequoia Capital and Seedfund in 14 rounds.

Games24x7 acquired $108 million value of funding in six rounds from buyers equivalent to Tiger World Administration, Raine and Malabar Investments.

Zupee has raised $122 million from ivnestors equivalent to WestCap, Z47 and AJ Capital Companions.

Reacting to the passing of the Invoice, Zupee spokesperson mentioned, “Zupee stays totally operational and our gamers can proceed to take pleasure in their video games on the platform. In keeping with the brand new On-line Gaming Invoice 2025, we’re discontinuing paid video games, however our vastly common free titles like Ludo Supreme, Ludo Turbo, Snakes & Ladders, and Trump Card Mania will proceed to be out there for all customers free of charge.”

Revealed on August 21, 2025