|WALTHAM, MA, February 8, 2006 – GameLogic announced today it raised a total of $18.6 million in Series B financing led by Bain Capital Ventures. Existing investors General Catalyst Partners and Maveron, LLC, also participated in the round, which was funded in tranches. |
GameLogic’s new products and services, such as its unique PlayAway™ platform, provide regulatory-compliant gaming designed to enable legal casinos and government-sponsored lotteries to stay connected to their players virtually anywhere there is a computer.
In November 2005, the New Jersey Casino Control Commission (NJCCC) approved the company’s PlayAway platform after a formal review by the State’s Division of Gaming Enforcement (DGE). The company expects to launch the product in New Jersey during the second quarter of 2006. Similar enabling decisions for PlayAway have also been made in Nevada where the game is currently being installed at several casinos.
With PlayAway, casinos benefit from a new source of game revenue and increased visits because players can only wager by purchasing tickets at a casino, and they must return to the casino to redeem any winnings. This innovative, unique platform blends online game technology, exciting PlayAction™ game content, and promotional and marketing services to stimulate new game sales and revenues, while connecting casinos to their players between visits.
The company’s lottery-based platform, HomePlay™, operates in similar fashion, with all wagers and collections taking places through a licensed lottery organization.
“Our team is truly excited about GameLogic’s unique, proprietary technology and products, and the sheer size and opportunity of the new-media gaming market,” comments Bain Capital Ventures Managing Director Jeff Schwartz. “GameLogic’s seasoned team, working closely with legal experts from around the country, has developed a unique way for casinos and lotteries to stay connected to their customers via the Web, mobile devices and interactive TV, all the while complying with existing U.S. laws and regulations. We are delighted with the expanding marketplace and potential of this investment.”
GameLogic was founded in 2002 by gaming and technology entrepreneur Steven Kane, its chairman and chief executive officer. He recognized the need for, and potential of, new-media-based entertainment in the gaming industry that specifically adheres to all U.S. federal and state regulations. An online gaming pioneer, Mr. Kane founded and was chairman and chief executive officer of Gamesville, which offered highly popular, web-based games and database marketing services. Gamesville was acquired by Lycos in 1999 for $232 million.
“The substantial financing we announced today, coming from sophisticated, thought-leading members of the technology and venture investment community, reflects the progress we are making and the soundness of our business strategy,” said Mr. Kane. “Our investors recognize, just as our casino and lottery customers do, that GameLogic’s solutions allow legal casinos and government-sponsored lotteries to compete successfully – for the first time – in the growing new-media gaming entertainment field.”
GameLogic innovates gaming entertainment platforms to help legal casinos and government-sponsored lotteries create new revenues, increase return visits and improve player loyalty. The company’s platforms, such as PlayAway™, are unique in enabling players to enjoy the gaming experience away from the casino in a regulatory-compliant manner, typically using Internet technology. GameLogic, based in Waltham, MA, was founded three years ago by the creators of Gamesville, one of the early, successful pioneers of online entertainment and games and related marketing. For more information, please visit http://www.gamelogic.com.
About Bain Capital Ventures
Bain Capital Ventures, the venture capital arm of Bain Capital, leverages the institutional advantages and consulting-based approach of Bain Capital to build industry-leading businesses. Focusing on sectors such as software, wireless, healthcare, business services, and consumer, Boston-based Bain Capital Ventures benefits from the broader resources of Bain Capital, which includes over 190 investment professionals, a network of over 225 portfolio companies, over $27 billion of assets under management, and the knowledge from 21 years of successful venture investing. For more information, visit http://www.baincapitalventures.com.
About General Catalyst
General Catalyst Partners is a venture capital firm that invests in exceptional entrepreneurs who are building the technology-based companies that will lead innovation and transform industries. Founded in 2000, General Catalyst Partners leverages its principals' extensive operational, business development and technological expertise to provide portfolio companies with a catalyst for success through business-building and partnership development assistance. General Catalyst has approximately $1 billion under management and is headquartered in Cambridge, Mass. For more information, please visit: http://www.generalcatalyst.com.
Headquartered in Seattle, Washington, Maveron LLC is a leading venture capital firm that manages close to $600 million in committed capital. Founded in 1998 by Dan Levitan, former managing director of Schroder Wertheim & Co., and Howard Schultz, the founder and current chairman of Starbucks, Maveron's mission is to partner with entrepreneurs in the creation of extraordinary companies across the Consumer Continuum™ in order to generate outstanding financial returns. Representative Maveron investments include fast-growing classic consumer companies, such as Potbelly Sandwich Works and Cranium, businesses that use technology to deliver goods and services directly to consumers, such as eBay and Capella University, and companies like Allconnect and GameLogic, which supply technology and services to consumer-facing businesses. For more information about Maveron, visit: http://www.maveron.com.