Supercell raises another round of funding at $130M on a valuation of $770M, sees revenues of $2.4M a day
Supercell confirmed to Forbes that is had raised another round of funding at $130 million in February on a valuation of $770 million from Index Ventures, Atomico Partners and Institutional Venture Partners.
Index Ventures invested $52.5 million of the total $130 million, with participation by Institutional Venture Partners and Atomico. Accel Partners, an early investor of Supercell, and all shareholders, sold 16.7 percent of their holdings to new investors.
Supercell also shared some revenue figures, telling Forbes it generated $100 million in gross revenue last year and $179 million in just Q1 2013, which translated to $104 million for the first quarter, after Apple’s standard 30 percent cut.
Supercell was once reportedly generating $1 million in gross revenue a day from just its two iOS games — casual farm game Hay Day and village-building title Clash of Clans. Now the Finnish startup makes double that, seeing $2.4 million a day, which places the company at a run-rate of more than $800 million for 2013, with the potential to reach $1 billion, according to Forbes. Supercell also sees about 8.5 million daily active users playings its two titles, who play an average of 10 times per day.
Every time a hot venture capital-backed private company shares its numbers, the same question always arises — why did the company share its financial figures now? Rovio, another Finnish game developer, shared its financial results for 2012 on April 3, reporting that it increased revenues by twofold from €75.6 million ($97.1 million) in 2011 to €152.2 million ($195.5 million) in 2012.
CEO Ilkka Paananen told Forbes that the latest round of funding wasn’t exactly needed, but took the funding as more of an opportunity to give shareholders a quick payout as both a “thank you” for their hard work and to alleviate any pressure to go public any time soon.
Index Ventures, one of the venture capital firms that led this latest round of funding for Supercell, posted a blog post from one of their partners, Neil Rimer, about the deal earlier today.
Paananen told Forbes that Supercell’s plan for the next three years includes moving into Android development, expanding into the lucrative Asian markets, releasing more global hits and “probably” an IPO.