TechCrunch has learned and confirmed that Redwood, an Indian company with offices in the UAE, has bought a majority stake in the game streaming platform Loco
This is part of the Indian company’s plan to focus on foreign markets.
Redwood, a new investment company, has made a $65 million deal with Loco. All current Loco backers can get their money back in full.
This drop in value from Loco’s nearly $150 million high point in 2022 is a reflection of how hard it is for Indian esports streaming companies to make money, which is partly because there aren’t many popular games on the market.
The new deal will help Loco’s “global expansion efforts,” the startup told TechCrunch. They now see a much bigger chance outside of India.
“This investment is a reward for all the hard work our team has put in over the past few years,” Anirudh Pandita and Ashwin Suresh, co-founders of Loco, told TechCrunch in a statement.
“Gaming is an important part of the global cultural zeitgeist, and we’re excited to build a platform that will be at the center of this movement.” Other forms of media can’t compare to live streaming when it comes to real relationships, and we want to put the fan at the center of this experience.
This deal comes after the sale of Pocket Aces, Loco’s sister property. Pocket Aces sold a majority share to Indian music label giant Saregama earlier this year for $40 million.
