In Turkey, gaming startups, particularly those focused on casual mobile games, are currently thriving, and yet another one has secured significant funding just nine months after its launch.
Grand Games, the developer behind titles such as Magic Sort and Car Match, has successfully raised $30 million in funding. This investment will aid them in replicating their initial successful development strategy by employing more talent and organising them into small teams responsible for their own game projects.
Bekir Batuhan Çelebi, also known as Batu, the CEO and co-founder of Grand Games, explained that while the company leverages AI technology to accelerate the development process, the true driver of their success is their team culture. This approach, inspired by the widely successful Finnish gaming company Supercell, empowers teams by giving them the freedom to innovate and execute their game ideas effectively.
This Series A funding round is led by London-based Balderton, with participation from previous investors Bek Ventures (previously Earlybird Digital East) and Laton Ventures, who had previously led a $3 million seed round last year. Angel investor Mert Gür also contributed to this round.
While Grand Games has chosen not to disclose its valuation, there are indications that the funding round was oversubscribed, indicating strong interest from investors. This round is one of the largest Series A investments for a gaming startup in Turkey. Additionally, just under a month ago, Agave Games secured $18 million in a Series A led by Balderton, valued at approximately $100 million.
One of Grand Games’ titles, Magic Sort, has gained a spot on Apple’s top-selling casual gaming charts, and together, both of their released titles have generated over $4 million in gross app revenue within six months of their launch, according to the company.
Grand Games stands out in its category as it successfully secured funding, which is relatively rare. Many casual gaming startups are capable of generating revenue from the outset and typically operate on modest budgets, often leading them to self-fund.
Currently, the majority of successful casual and puzzle games featured in the Apple App Store are not venture-backed, with exceptions such as Dream Games and Supercell.
Dream Games, which received $255 million in funding in 2022, is a prominent player in this space. Originating from Turkey, it is part of a group of companies that emerged following the success of Peak Games, which was acquired by Zynga in 2020 for $1.8 billion. Peak and Dream set the standard for growth within the sector, with other notable companies including Tripledot, Spyke (which raised $50 million last year), Agave, and Good Job.
The three founders of Grand Games began their careers at Good Job. Batu, alongside Mustafa Fırtına and Mehmet Çalım, conceived the idea of establishing Grand during their time at the company.
Batu highlighted that, in the traditional Turkish gaming scene, design decisions are predominantly made by founders. While these leaders may be talented and driven, this method often hampered the potential of their teams. He expressed that many highly skilled employees were granted little autonomy in the projects they engaged with.
By creating a framework where talented individuals have the freedom to make crucial decisions within their small teams, Grand aims to boost productivity, enhance game quality, and foster job satisfaction.
Batu emphasized that the culture being cultivated at Grand serves as its most distinguishing factor among Istanbul’s gaming companies.
“This model is not entirely new; Supercell has successfully implemented it for over a decade, but it is not yet common in Turkey’s gaming industry,” he noted.
Grand Games also utilises AI tools to handle tedious tasks such as artwork generation and coding, which allows its teams to focus more on creativity.
Batu remarked, “I only engage in about 5% to 10% of the decisions made by the teams.” These interventions are reserved for critical disputes that need resolution or when it becomes necessary to abandon a project that isn’t performing well.
Considering that Grand Games is less than a year old, it has not yet faced significant challenges to its operational structure. With only two successful titles to date, the company has attracted considerable investor interest.
The primary challenge ahead for Grand Games is to maintain its momentum while expanding its team and establishing additional production clusters. Investors are optimistic regarding the company’s potential for continued success.
“Istanbul is home to some of the world’s premier gaming studios, and within this ecosystem, the founders of Grand Games are distinguished by their vision to create world-class, genre-defining casual games that appeal to players,” stated Suranga Chandratillake, general partner at Balderton Capital. “The rapid development of a strong team culture and their success with the initial two titles demonstrate their talent and dedication. We are thrilled to partner with a team that possesses exceptional ambition and a passion for gaming.”
