Chandigarh-based online gaming company Rummy Passion has raised $3.75 million from London Stock Exchange-registered gaming firm Stride Gaming Plc in lieu of 51 per cent stake in an all-cash deal.
After the divestment, Stride Gaming has the right to acquire the remaining 49 per cent of Passion Gaming from the existing shareholders over a three to five year period, using a combination of cash and shares based on the future financial performance of the company.
The latest infusion will be utilised by Passion Gaming to strengthen marketing, technology and customer service teams to capitalise on a rapidly growing market.
As part of the investment, Stride Gaming can appoint three directors to the Passion Gaming board.
“Working with Stride Gaming places us in a strong position to bring international standards to rapidly growing Indian gaming market as we continue to focus on player acquisition, engagement, and loyalty,” said Bobby Garg, founder and CEO, Passion Gaming, reported TOI.
Launched in October 2016, Rummy Passion is a user-friendly interface that has appealed to people of all ages. Bobby Garg brought the idea since the cards game of Rummy declared a “game of skill” by the Honourable Supreme Court of India in August 2015.
It provides vibrant tables starting at a low entry fee of just Rs 20 and going up to Rs 10,000, easy navigability, a generous Passion Rewards Club loyalty program, and the fastest next day NEFT payouts.
To improve the skill of the players, the team has also created a ‘Rummy Gyan Blog’ where players can find valuable expert tips, tricks, and strategies to help them master the game. Besides, it also offers 13 Cards Points, Pool & Deals Rummy for desktop and mobile.
The startup has a nice footprint in Andhra Pradesh, Tamil Nadu, Telangana, and Karnataka. It is also looking to grow their presence in Delhi, Punjab, Maharashtra, and Gujarat in the coming few quarters.