Epic Games is going to raise $750 million from the estimated value of the entire company at $17 billion

This is reported by our colleagues from Bloomberg with reference to sources close to the deal. The data is not final yet. The details of the transaction may change during further negotiations.

The new investors are: American stock company T. Rowe Price Group and a British investment firm Baillie Gifford. Companies that have previously invested in Epic Games will also take part in the round. One of them will be a private investment fund Kohlberg Kravis Roberts.

The current deal seriously increases the developer’s market value. In 2018, Epic Games was valued at $15 billion. According to Crunchbase, to date, the company has raised $1.6 billion over the entire period of operation.

In April, there were already rumors about Epic Games’ plans to raise a large sum. Then it was said that the developer was negotiating a round in the region of $500 million to $1 billion. It was mentioned that the “epics” even hired a financial consultant who will help in the conduct of the process.

One of the factors of interest in the company from investors in Bloomberg then considered the success of the Houseparty video chat (an analogue of Zoom with additional social functions and the possibility of playing together), the owner of which Epic Games became a year ago. Against the background of the pandemic, the application was downloaded more than 80 million times (AppMagic data).

Now the interest may also be due to the successful “participation” of Epic Games in the presentation of a new generation of Sony game console. Of the 26 titles presented at the PlayStation 5 presentation, at least 9 games were developed on the Unreal Engine.

Also on the topic:

• Epic Games is going to raise up to $1 billion. The valuation of the entire company will be above $15 billionUnreal Engine will take royalties only from projects that have earned more than $ 1 million
• Unreal Engine 5 Announced
• Is there any news?