Niantic Inc., the publisher behind “Pokémon Go,” is working to raise a new round of capital investment which would increase the valuation of the company to $3.9 billion, The Wall Street Journal reports.
The publisher is seeking out $200 million in an upcoming round of funding that is expected to be led by the venture capital firm IVP, in association with strategic investors Samsung Electronics Co. and aXiomatic Gaming LLC.
Niantic was previously valued at $3 billion. The addition of $200 million will bring the company’s total funding to $425 million.
“Pokémon Go” continues to be a force in the mobile gaming market. The game holds the record for being the fastest mobile game to reach $300 million in revenue, in only 113 days, according to a report released last Friday by Sensor Tower. Comparatively, the super popular “Fortnite” took 200 days to reach the same milestone.
The free-to-play game features a microtransaction system of optional in-app purchases, something that has led to a steady income for Niantic. Last month market intelligence provider Sensor Tower reported the augmented reality game pulled in $84.8 million across September. Since the release of “Pokémon Go” in 2016, the game is estimated to have a global gross revenue of $2.01 billion. Players spend roughly $2 million daily, with the majority of that money coming from the U.S. and Japan.
Niantic is investing in augmented reality technology. The company is currently working on “Harry Potter: Wizards Unite” using augmented reality for mobile.