Private equity firm KKR & Co., Inc. and some other companies invested a total $1.25 billion in video game developer firm Epic Games.
Epic Games, whose game 'Fortnite' gained roaring popularity, is valued at $15 billion as part of the new funding round (The Wall Street Journal reported on Friday, citing people familiar with the matter). Along with KKR, Iconiq Capital, Smash Ventures, aXiomatic, Vulcan Capital, Kleiner Perkins and Lightspeed Venture partners are the newest prominent names backing the gaming company.
In 2012, Tencent acquired 40% of Epic’s equity for $330 million. Walt Disney Co. and Endeavor also hold shares in the company. News of the latest investing round and valuation reflect how sharply Epic Games' potential in the video gaming industry have risen in the eyes of investors - something which potentially benefits its early backers as they see their holdings appreciate in value.