BEIJING – October 17, 2011 – Top global social gaming developer Happy Elements today announced that it has raised $30 million in a Series B funding round. Led by Legend Capital with participation from existing investor DCM, the new funding will be used to expand more aggressively in Western markets and to make an entry into the mobile entertainment marketwith the launch of several new smartphone games in 2012. The capital will also be used to aggressively recruit diverse talent from across the globe and to strengthen its leadership position as the social game developer with the strongest overall presence in Asia’s principal markets.
Happy Elements is one of the fastest growing global developers in the social gaming industry. Since launching its firstgame in 2009, it has consistently been ranked as one of the top 10 game developers on Facebook and as one top Asiansocial gaming developer on Facebook. It maintains a leading position on social networking services (SNS) in Japan, China and South Korea. In the two years since its founding, Happy Elements has grown from an eight person team to a staff of 300. By the end of 2012, Happy Elements is planning to launch over eight new games.
“In the last two years, social games have given players a fresh gaming experience and a new way to interact,” said Haining Wang, CEO of Happy Elements.“At Happy Elements, we really know how users socialize and how gamesoperate and spread. With this new investment, we will continue to recruit diverse talent from across the globe and we willcontinue to attract top-class producers and managers. As we move forward, we will continue to focus on providing innovative games with the most compelling gaming experience.”
Creativity and persistence
Happy Elements creates games based the belief that “games are a service”. In August 2009, Happy Elements launched its first social game My Fishbowl on Facebook.Today it continues to entertain 1,500,000 daily active users, one of the longest life cycles among the top 10 games on Facebook.
In addition, titles released on other platforms around the world have also become extremely popular. Lounge Bar,after only four weeks, became the #2 gameby number of active users on Mixi, Japan’s top social networkingwebsite, while My Kingdom, a casual social game, was ranked first among the fastest growing games on Facebook after its launch in October 2010. It is also the most successful game released by Happy Elements on both Japanese,China and South Korean social networking platforms.
“Social networking websites are one of the most important innovations of the Internet era,” said Erhai Liu,managing director of Legend Capital,who is a new member of Happy Elements’s board. “Legend Capital pays close attention to social platforms and SNS applications. Happy Elements is a top 10 social game developer. The company is rich in experience with product research and development, operations, and international publishing. We believe that Happy Elements will continue to provide high quality social game services.”
Global operations and publishing
Since its founding, Happy Elements strived to be a company with global reach. Two years after its start, Happy Elements has developed games on 15 platforms around the world. The Global Integration Platform developed by Happy Elementsconnects and continuously updates its products on social networking platforms around the world. Among these platforms are: Facebook, Tencent, Renren, Kaixin, Mixi, Hangames, Cyworld, Daum, Netlog, Hyves, StudiVZ and Orkut. In addition, Happy Elements has established a global operations team with members from 15 different countries to ensure that its games are adapted to fit the various markets’ needs. With its Global Integration Platform, operational experience in Asia,loyal user base, Happy Elements began helping third party game developers publishtheir games as ofJune 2011.
“Having invested in the first funding round of Happy Elements, we’ve witnessed, first-hand, the painstaking importance Happy Element’s product teams have placed on their users’ demands,” said Osuke Honda, a partner at DCM, who is a member of Board of Directors of Happy Elements. “We’re pleased to continue supporting this leading game publisher with a steady product development pipeline and a continued dedication to excellence.”
Moving towards mobile
Happy Elements has launched three mobile phone games in Japan, to strong reception from the market.Pocket Bar has won special recognition from GREE Mobile as one of the platforms top games.In October 2011, Happy Elements released Happy Fish Dream Aquarium for the iPhone. With this new round of funding, Happy Elements will pusheven more aggressively into the mobile entertainment market, by launching an exciting array of creative newgames for mobile devices.
About Happy Elements
Happy Elements is leading the next wave of gaming, providing the best gaming experience for users of social networks and mobile devices. Happy Elements has released and operated PC and smartphone based social games on 15 platforms across the globe. It believes that what it runs is a service, not just a product. The first wave of Happy Elements games for Facebook, including “My Fishbowl” and “My Kingdom”, has been widely recognized for its user loyalty and convenient social interaction. Founded in 2009, Happy Elements is headquartered in Beijing, China withan office in Japan. More information about Happy Elements can be found at www.happyelements.com .
About Legend Capital
Legend Capital, a subsidiary of Legend Holdings Ltdis an independent venture capital firm. It was established in April 2001, headquartered in Beijing, with offices in Shanghai and Wuhan. Legend Capital’s investment teamincludes over 40 professionals, of which 13 are partnersAt present, it manages?funds totaling over 13 billion RMB, principally investingin China related growth opportunities. Its investments mainly cover the spectrum of TMT, outsourcing and professional services, clean technologies, medical care, consumer products and services and advanced manufacturing industry. As ofSeptember 2011, Legend Capital had invested in more than 100 enterprises. 18 of which have been listed on New York Stock Exchange, the NASDAQ, The Stock Exchange of Hong Kong Ltd, Taiwan Stock Market or Shenzhen Stock Exchanges.Legend Capital is an innovative, teamwork driven company that believes in the pursuit of profit with principles and respect for people. Its goal is to create mutually beneficial partnerships between investors and entrepreneurs based on mutual trust and respect, for the goal of promoting innovation and growth.
DCM is an early stage venture capital firm that has been helping entrepreneurs build world-class technology companies since 1996. The firm’s partners manage six funds totaling US$2 billion, and have made investments in more than 140 technology companies across the United States and Asia. With offices in Silicon Valley, Beijing and Tokyo, DCM provides hands-on operational guidance and a vast network of business and financial resources to its portfolio companies globally. DCM has backed industry leading companies such as 51job (NASDAQ:JOBS), About.com (acquired by The New York Times Co.), Clearwire (NASDAQ:CLWR), eDreams (acquired by TA), Foundry Networks (NASDAQ: FDRY), Kabu.com (TSE Main: 8703), Sling Media (acquired by EchoStar), SMIC (NYSE: SMI), and VanceInfo (NYSE: VIT) as well as upcoming startups such as Bridgelux, Happy Elements, mBaoBao, PapayaMobile, RenRen, RockYou, Sandforce, Trion Worlds, Ustream, and Vipshop. Recent exits include three new China-based IPOs: BitAuto Holdings (NYSE: BITA), DangDang Inc. (NYSE: DANG), and Shanghai Luxin (SZSE: 002565) and two US-based exits: Fortinet (NASDAQ: FTNT) and PGP (acquired by Symantec).