Krafton, the South Korean company famous for games like PUBG and Battlegrounds Mobile India (BGMI), is significantly
increasing its investment in India with a new growth fund. The company is launching the Unicorn Growth Fund to tap into
India’s large and rapidly expanding internet user base.
Krafton, in collaboration with South Korean internet firm Naver and investor Mirae Asset, plans to deploy up to ₹60
billion (approximately $669.3 million) over the next four years through this fund, as confirmed to TechCrunch. Mirae
Asset Venture India will manage the Unicorn Growth Fund, which is slated to begin operations in January with an initial
size exceeding ₹30 billion (about $334.6 million). Krafton's initial contribution will be ₹12.3 billion (roughly $137.2
A Krafton spokesperson indicated that Naver's investment would be close to Krafton's initial $137 million. The fund will
not have strict allocation limits for specific sectors. Investment amounts are projected to typically range from $10
Krafton stated that the fund's investments will be primarily financial, although the level of involvement with the
companies it invests in could vary based on the potential of each business. Krafton has already invested over $200
million in India, supporting companies in gaming, content, and fintech. Recent investments include fintech company
Cashfree and venture fund IMM Investment, alongside earlier investments in Nodwin Gaming, Loco, Pratilipi, and Kuku FM.
In 2023, the company also launched a gaming incubator in India and acquired a controlling stake in Nautilus Mobile, an
Indian gaming studio, for $14 million.
Krafton's journey in India has faced challenges. In 2022, the Indian government banned BGMI, a popular title, but
allowed its return in 2023 after a three-month trial period. Following this, Krafton announced a $150 million investment
commitment to India. BGMI, which has been downloaded over 240 million times, was launched in 2021 as a revamped version
of PUBG Mobile, which was banned in 2020 over national security concerns. To address regulatory concerns, Krafton has
made operational changes, including severing ties with Tencent as its publisher and moving its India servers to
With this new fund, Krafton aims to broaden its India strategy beyond just gaming, investing in a wider range of tech
startups to establish a long-term presence in the rapidly growing Indian digital market.