[Funding alert] Parent firm of Dream11 raises $400M at $5B valuation

Fantasy sports unicorn startup Dream Sports, which owns the flagship brand Dream11, has raised $400 million in second investment led by TCV, D1 Capital Partners, and Falcon Edge Capital.

This round, which also saw participation from existing investors, valued Dream Sports at $5 billion, according to reports. The existing investors are Tiger Global, ChrysCapital, TPG Growth, Steadview Capital, and Footpath Ventures.

Avendus Capital was the exclusive financial advisor to Dream Sports on the transaction.

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Besides Dream 11, the other brands in the portfolio include FanCode and DreamX. According to this unicorn, this is the largest investment in the Indian sports tech ecosystem to date and is a testimony to its growing market potential.

On the investment, Harsh Jain, CEO and Co-Founder, Dream Sports, said, “This is a huge vote of confidence to the Indian startup ecosystem. We have created the fantasy sports category in India to drive digital engagement to real-life sporting events and bring fans closer to the sport they love.”

He further said, “Our growth trajectory is also a testimony to the honourable Prime Minister’s vision of Atmanirbhar Bharat and Digital India.”

This investment into Dream Sports comes ahead of the forthcoming Indian Premier League (IPL) season.

Founded in 2008 by Harsh Jain and Bhavit Sheth, Dream Sports is located in Mumbai and employs close to 600 people. This is the first investment by global growth equity firm TCV in India, and as part of its portfolio, it has invested in companies such as Netflix, Airbnb, Sportradar, and Peloton.

On the investment, Gopi Vaddi, General Partner at TCV, said, “India is home to the world's largest and most energetic sports fan base with a dynamic mix that is unique to the subcontinent. Dream Sports is serving this community with a highly innovative product offering. We are inspired by what Harsh, Bhavit, and the Dream Sports team have built, and we look forward to partnering with them.”