Midnite, a licensed esports betting platform, announced the first closing of its $16mm Series A funding round led by The Raine Group, a leading global merchant bank focused exclusively on technology, media and telecommunications. As part of the round, existing investors increased their investment in Midnite. Notable previous backers of Midnite include Makers Fund and Venrex. The Raine Group’s Co-Founder and Partner John Salter will join Midnite’s Board of Directors and Managing Director Garrett Gomes will become a Board Observer. Raine’s investment is a part of its dedicated gaming investment platform.
Proceeds from this round will be used to help fund Midnite’s growth initiatives as the company supercharges its product platform including:
• Sportsbook – launched in 2020, Sportsbook allows users to wager on esports and traditional sports.
• CashMode – launched in 2021, CashMode provides skilled gamers the chance to bet on their own gameplay for real cash prizes.
• Casino – launching in 2022, offers users a hyper casual casino and minigames with UI and features designed specifically for gamers.
“We pride ourselves on leveraging the best forms of technology, fan-centric features, and in-house models to offer next level experiences to our users,” said Nicholas Wright of Midnite. “We’re thrilled to be partnering with Raine, one of the most successful investors in gaming, as we seek to expand globally. Raine’s funding, as well as its strong relationships in the gaming industry, will be extremely valuable to us as we move forward with our strategic goals as the esports market continues to rapidly grow.”
“Midnite employs a product-first growth mentality, and we have been impressed by its founders and fully believe in their vision for the company,” said Mr. Salter. “Their talented and dedicated team is passionate about changing the way fans experience the games they love, and we look forward to helping them create the next generation of sports betting.”
Midnite was founded in 2018 by Nicholas Wright and Daniel Qu, gaming industry product specialists who previously created Dribble, a daily fantasy sports platform. The team worked closely with Sky Bet, one of the largest operators in the UK, to launch the platform. The company is currently licensed with the British Gambling Commission and is pending licensing approval with the Malta Gaming Authority. Outside of the UK, Midnite has held a soft launch in Brazil and next expects to enter into the Mexico market, which will be accelerated by a partnership with a Mexican operator.
Raine has been investing in the gaming sector since its inception in 2008, with early investments in DraftKings, Jackpocket and Mythical Games, among other companies.
