Redwood, a UAE-based investment firm, has recently acquired a majority stake in the game streaming platform Loco. This move comes as Loco, an Indian firm, aims to expand its focus to international markets, according to sources at TechCrunch.
In a deal worth $65 million, Redwood now holds the majority stake in Loco, providing a complete exit for all previous investors in the Indian streaming platform.
Despite a valuation drop from its peak of nearly $150 million in 2022, Loco is looking beyond the Indian market and sees a significant opportunity to expand globally. This new partnership with Redwood will support Loco’s efforts for international growth, as confirmed by the startup to TechCrunch.
Co-founders Anirudh Pandita and Ashwin Suresh expressed their excitement about the investment, stating, “Gaming has become a cultural phenomenon worldwide, and we are committed to creating a platform that resonates with this global movement. Live streaming fosters genuine connections that other mediums can’t replicate, and we aim to prioritize the fan experience at the core of our platform.”
Following the sale of Loco’s sister company Pocket Aces to Saregama earlier this year, the investment in Loco underscores the growing interest in the Indian esports and streaming sector. Loco, backed by investors like Catamaran Ventures, Krafton, and Hashed, aspires to establish a Twitch-like platform in markets where existing services have limited reach.
On Loco’s platform, popular games like “Grand Theft Auto V,” “Call of Duty: Infinite Warfare,” “Battlegrounds Mobile India,” “Free Fire,” and “Valorant” are streamed by gamers. Streamers on the platform monetize through virtual goods purchased by viewers, supported by licensing agreements with major game publishers such as Krafton, Activision, and Riot.
