KARLSRUHE, Germany - April 4, 2012 - T-Venture, the venture capital arm of Deutsche Telekom, is investing up to two million Euros in mobile game start-up flaregames GmbH, headed up by Klaas Kersting. Flaregames develops games for mobile platforms, and is the first T-Venture investment in this market segment. The Karlsruhe-based company announced a six million Euro investment by venture capital firm Accel Partners in February.
Parallel to the T-Venture investment, a broad marketing cooperation agreement between flaregames and Deutsche Telekom has been signed. Both companies plan to work together in the marketing and promotion of mobile games.
Flaregames develops and operates free-to-play mobile games for the iOS and Android platform. All of the games are free and offer players the option to purchase additional services and content within the games. The first games will be released in April in five languages, with eight games currently planned for release in 2012.
"We had just closed a round of financing and are actually comfortably financed, but were open to T-Venture’s approach, as we consider it a unique strategic opportunity,” said Klaas Kersting, CEO and founder of flaregames. “T-Venture’s position as a catalyst between ourselves and Deutsche Telekom opens up numerous opportunities for successful collaboration and access to the customer base of the leading European carrier.”
“Flaregames impressed us with a clear vision for growth, a great product pipeline and, above all, a great and highly motivated team,” said Dr. Christian P. Illek, Director of Marketing at Telekom Deutschland GmbH. “The market for mobile games is experiencing sensational growth, and flaregames is well positioned and on its way to becoming a strong global player in this field.”
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Based in Karlsruhe, Germany, flaregames is a highly motivated team of industry veterans closely collaborating on a new generation of mobile games. The company was founded in 2011, to focus on the development and operation of free-to-play games for smartphones, and tablets. flaregames‘ pipeline currently consists of a portfolio of titles for mainstream and Mid-Core gamers. All of the games are being developed with the goal of offering fun, deep and long-lasting, gameplay experiences that engage players.
The founder of the company is Klaas Kersting, co-founder and former CEO of GAMEFORGE AG, who grew his previous company from a start-up to a global player with 500 employees and over 100 million Euros in annual revenue. For more information, please visit: www.flaregames.com
T-Venture Holding GmbH was founded in 1997 as a 100% subsidiary of deutsche Telekom AG. Since then, T-Venture have invested in young companies that demonstrate economic and technological synergy with the business ideas of Deutsche Telekom and who also promise an above-average potential for growth. The company is based mainly in Bonn and supports and supplements the commitment of T-Venture of America Inc. in San Francisco and in Seattle. Regional areas of core investment activity are in Europe, the United States of America and in Asia.
T-Venture Holding GmbH