Supercell Invests $180M More in Metacore

Metacore and Supercell: A Growing Partnership

Metacore, a mobile game developer based in Finland, maintains a notably strong connection with Supercell, another highly successful Finnish gaming company.

In September 2020, Metacore secured $17.7 million in equity funding from Supercell, alongside an additional $11.8 million credit line. This beneficial relationship continues to evolve.

Currently, Metacore has received further debt financing from Supercell, totaling €150 million ($180 million). This demonstrates a significant level of confidence between the two organizations.

The Success of Merge Mansion

The primary driver behind this continued investment is the exceptional performance of Merge Mansion. Supercell evidently desires a share in the game’s success and possesses the financial resources to pursue this opportunity.

The puzzle game boasts an impressive 800,000 daily active players and generates an annual revenue exceeding €45 million, indicating substantial growth.

A key element of its popularity lies in its unique merging mechanic. Players enjoy combining items to create new objects, such as merging two rakes to produce a different tool for use elsewhere in the game.

Metacore’s Innovative Development Strategy

Supercell also appreciates Metacore’s efficient game development process. The company utilizes small teams of two to three individuals, adding resources only when a game demonstrates significant potential.

This approach to game creation, often described as “fail-fast,” is a contributing factor to Supercell’s increased investment, extending beyond just Merge Mansion itself.

Financing Details and Future Plans

The latest financing takes the form of a credit line, as explained by CEO and co-founder Mika Tammenkoski.

Tammenkoski stated that the funds will be used to scale the company alongside revenue growth. The company anticipates a strong return on investment, making this a cost-effective financing option.

He further explained that equity investment would result in dilution of ownership, making the credit line a more sensible choice. Supercell’s understanding of the challenges and long-term vision align perfectly with Metacore’s goals.

Supercell provides the most favorable terms overall, given their experience and shared objectives.

A Strong Alliance

The partnership between Metacore and Supercell is firmly established. Any potential external investors seeking to participate will likely need to make substantial investments to gain access to this promising venture.