Friday, April 22, 2016 : ZENGAMING RAISES $2.8 MILLION FOR E-SPORTS VENTURE
Crown Resorts led the funding to push further into the competitive video gaming space.
With its eyes firmly on the burgeoning eSports business space, social gaming network Zengaming raised $2.8 million in funding this week, with Australian land casino group Crown Resorts leading the round in its efforts to push further into the eSports competitive video gaming phenomenon.
Other investors include financial firms NFX Guild, 500 Startups, iAngels, and Foundation Capital along with angel investors Barak Rabinowitz and Shmueli Ahdut, the publication VentureBeat reports.
Zengaming will use the new capital to develop new talent and expand its support for important eSports games like Dota 2, League of Legends, and Starcraft.
Professional video gaming is on pace to generate $463 million in revenues this year primarily from sponsorships and marketing, VentureBeat notes.
Zengaming chief executive Jimi Gecelter said in a press statement:
"Zengaming wants its members to see the site as a path to future income. The idea is that you can compete in games and your results will show up on Zengaming and major teams might notice and recruit you based on your profile. Additionally, the site hosts sponsors who may want to connect with top players for potential sponsorships."
Gecelter claims his enterprise now has over a million registered and active users on one game – Counter-Strike – alone. And it is actively testing communities for Dota 2 and Rocket League.
“Even we were surprised by how widespread our success was, gaining such an impressive amount of active users within a year,” he admitted. “Partnering up with Crown, which has already hosted the biggest eSports tournament in Australia, with professional teams such as Cloud9 and Virtus.Pro, is an important strategic step that will help Zengaming continue its expansion.”