PopCap Games Takes $22.5 Million in Funding
Posted by Dan Hirsch on 10.06.2009
Big name in casual gaming takes on funding, minority shareholders.
PopCap Games today announced that it has received $22.5 million in funding. Funding was aquired from Meritech Capital Partners with help from Larry Bowman and John McCaw, big names in tech investing. This is the first time in PopCap's decade long history that the developer has raised capital on its own. The funding will be used for potential acquisitions and other operational purposes. Those investing will receive a minority stake in PopCap.
One of the sticking points that led to Meritech Capital Partners investment in the developer was its successful reputation and financial success.
"PopCap is arguably the most unique video game company on the planet," stated Rob Ward, managing director at Meritech. "While other video game companies put out more flops than hits, PopCap has never produced a game that wasn't a critical and commercial success. Taking the company's boutique development style and universally appealing product lineup to the top of the video game food chain will be an exciting, potentially industry-changing, experience and we're happy to be a part of it."
David Roberts, CEO of PopCap, said the additional working capital will let the developer be more aggressive in expanding into social media.
"We've been pursued by investment firms for many years and have resisted taking outside capital," Roberts said,"but we liked Meritech's style and believe there's a tremendous opportunity to grow and evolve our business at a time when many other video game firms are retrenching."
