WinZO’s Strategic Move: Giving Complete Exit to Hike

In a significant development within the Indian startup landscape, vernacular social gaming platform WinZO announced on Monday that it has repurchased early investor Hike’s shares for $12 million, marking one of the largest buyback transactions by an early-stage firm in India.

Successful Exit for Hike with Four-Fold Returns

The buyback transaction effectively provides a complete exit for Hike, the early investor in WinZO, with a remarkable four-fold return on their investment made back in May 2019. Hike’s participation in WinZO’s $5 million Series A funding round in 2019 has proven to be a lucrative investment, yielding substantial returns within just 18 months, as confirmed by WinZO in an official statement.

Reinforcing Investor Confidence: Recent Funding Rounds

In addition to facilitating Hike’s exit, WinZO has further bolstered its financial position by raising an additional $13 million from existing investors including Stephan Pagliuca, Makers Fund, and Courtside Venture. This latest infusion of capital brings the total raised value to $18 million in its Series B round, underscoring investor confidence in WinZO’s growth trajectory and market potential.

Founder’s Perspective: Acknowledging Board Support

Paavan Nanda, Co-Founder of WinZO, expressed gratitude for the unwavering support of the company’s board throughout the buyback process. He emphasized the board’s bullish stance and alignment with WinZO’s ambitious goals, highlighting their instrumental role in facilitating Hike’s complete exit from the company.

Strategic Initiatives and Future Outlook

Despite recent industry shifts, including Hike’s decision to shutter its primary messaging business and venture into gaming with the launch of Rush, WinZO remains steadfast in its growth strategy. The gaming startup continues to innovate and expand its offerings, recently announcing a $5 million game developer fund-II as part of its commitment to nurturing aspiring content creators. Additionally, WinZO is focused on providing structured training programs to groom talent within the gaming ecosystem.

Diversified Gaming Portfolio and Regional Reach

With a diverse portfolio of over 80 games available in five different formats and catering to users in more than 12 regional languages, WinZO has solidified its position as a leading player in India’s gaming landscape. The platform’s commitment to vernacular gaming experiences has resonated with users across the country, driving engagement and growth.

In conclusion, WinZO’s strategic buyback of Hike’s shares, coupled with recent funding rounds and initiatives, underscores the company’s resilience and vision within the competitive gaming industry. As WinZO continues to expand its offerings and foster innovation, it remains poised for sustained success and further market penetration in the burgeoning Indian gaming market.