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Sector
Technology
Size
Large Cap
Market Cap £47.41bn
Enterprise Value £40.48bn
Revenue £9.74bn
Position in Universe 197th / 7419

Gaming company Kepler raises $120 mln from China's NetEase

Tue 28th September, 2021 3:00am
By Supantha Mukherjee
    STOCKHOLM, Sept 28 (Reuters) - Kepler Interactive, a game
publisher co-owned and run by developers, on Tuesday said it got
$120 million in funding from Chinese gaming firm NetEase Inc
 9999.HK .
    The group, formed with seven gaming companies including 
Alpha Channel and Sloclap, plans to offer game studio founders
to become co-owners, share resources and financial gains, while
being charge of their own studios.  
    "We have a studio committee, which meets on a weekly basis,
they get involved in major company decisions, but they don't get
involved into individual studio decisions, so the studios remain
independent," CEO Alexis Garavaryan said in an interview. 
    Sweden's Embracer  EMBRACb.ST  had a somewhat similar model
in which instead of partnering, it bought companies but allowed
their founders to run them independently with full creative and
operational freedom. That model has helped Embracer to become
Europe's largest video game company.
    Kepler will have operational hubs in London and Singapore,
with teams spread over 10 countries, and a 2022 slate of titles
such as third person action game Sifu https://www.youtube.com/watch?v=Vy-enf5xxgQ&ab_channel=PlayStation,
 first-person survival horror adventure video game Scorn https://store.steampowered.com/app/698670/Scorn,
 and open-World adventure game Tchia https://store.steampowered.com/app/1496590/Tchia.
    Garavaryan did not disclose the valuation of the company but
said NetEase would be a minority investor.
    The global games market will generate $175.8 billion in 2021
and is expected to cross the $200-billion mark in 2023,
according to gaming analytics firm Newzoo.
    The company's studios are currently focused on PC and
console games, but it could look at bringing in studios with
expertise in mobile games and animations.
    "There's conversations about expansion so we have had talks
about bringing an animation studio, so that we can adapt some of
our properties into animated series," said Garavaryan.

 (Reporting by Supantha Mukherjee, European Technology &
Telecoms Correspondent, based in Stockholm; Editing by Dan
Grebler)
 ((supantha.mukherjee@thomsonreuters.com; +46 70 721 1004;
Reuters Messaging:
supantha.mukherjee.thomsonreuters.com@reuters.net))
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