Warner Music Leads Investors In $52 Million Raise For UGC Game Company Overwolf

Overwolf, created to make apps related to video games, has completed a Series C round for $52.5 million, a Medium blog post from CEO and co-founder Uri Marchand reads.

Griffin Gaming Partners and Insight Partners co-led the round, the blog says.

Ubisoft, Warner Music Group, Meg Whitman, Gen.G Co-Founder, Kevin Chou, and existing investors Marker, Intel Capital, Liberty Technology Venture Capital, and Atreides Management were also involved, along with several AAA game developers.

Marchand writes that the funds will go toward boosting manpower which will be used to make services for in-game creators.

Marchand goes on to say that the funding round was “therapeutic” for him.

“In the past, I struggled to get investors to understand the sheer size of user-generated content (UGC) and the massive value it could bring in terms of engagement and monetization in gaming. Although I found it challenging to raise money in the past, this time was different.”

He says the team developed over the past two years had grown so efficient that “all that was left for me to do was take meetings, answer questions and follow up with materials.”

“I felt like a volleyball player getting the perfect pass, so all I had to do was jump and hit the ball hard. I did just that, and we signed a term sheet within four weeks,” he wrote.

In terms of what’s next for the company, Marchand says the company is rolling out CurseForge Core, which is a User Generated Content-as-a-service platform letting game developers install modifications.

Online gaming has continued to evolve through the years, with Roblox going public in a whirlwind display giving the company a valuation of $38 billion on its first day of trading.

Roblox’s success comes from what PYMNTS terms the “metaverse,” as it’s a large interconnected network full of users engaging in a multitude of ways.