Gaming and media-focused fund Lumikai launches its second offering; targets $50 million corpus

Indian gaming and interactive media-focused fund Lumikai has launched its second fund targeting a corpus of $50 million from global investors. This fund will be deployed to make investments in pre-seed to Series A funded start-ups operating in the media and gaming industries. 

The Lumikai Fund I raised $40 million in 2020. It is also in the process of setting up a dedicated $10 million alternative investment fund for Indian limited partners.

Commenting on this development, Salone Sehgal, Founding General Partner at Lumikai said, “At Lumikai, we are excited to catalyse India’s gaming and interactive media revolution. Interactive media lies at the confluence of new technology, culture and emerging media. Since the beginning, our ambition was to unlock a new asset class for investors by turbo-charging India’s most ambitious founders within the ecosystem.”

Sehgal also said that in the last three years, the fund has seen over 1,400 deals close.

“We continue to remain bullish on the long-term potential of the India interactive market and this is our opportunity to build on the foundation we have laid,” she said. 

Lumikai’s first fund has backed several start-ups such as Loco, Elo Elo, and Bombay Play, among others. 

The firm also believes that the gaming industry presents several opportunities despite the challenges hovering over it on the regulatory front. According to a report by LinkedIn, the Indian gaming industry generated $2.8 billion in revenue in 2022 and is projected to experience substantial growth to $5 billion in 2025, representing a compound annual growth rate (CAGR) of 28-30 per cent. 

“Lumikai was created ground-up to be a focal point for the next generation of superstar gaming and interactive media founders. These sunrise sectors have seen tremendous tailwinds since we launched the fund, and we are privileged to have a front row seat in this revolution,” said Justin Shriram Keeling, Founding General Partner at the company.

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