UAE-based Redwood has acquired a majority stake in the game streaming platform Loco for $65 million, allowing all existing investors to exit. The newly-formed investment firm has signed a deal of $65 million with Loco offering full exit to all existing Loco backers.

This acquisition comes as Loco aims to expand into international markets, shifting from its previous valuation of nearly $150 million in 2022 due to revenue challenges in the Indian esports sector.

The gaming app Loco was designed and procured by Anirudh Pandita and Ashwin Suresh,who highlighted the investment as recognition of their team's efforts and a step towards creating a global platform for gaming.

In a joint statement Loco founders Anirudh Pandita and Ashwin Suresh mentioned,“Gaming is a vital part of the global cultural landscape, and we aim to create a platform that is central to this movement. Live streaming fosters genuine connections in a way that other mediums cannot, and we want to place fans at the heart of this experience.”

The deal follows the sale of Loco’s sister property, Pocket Aces, which sold a majority stake in a $40 million deal to Indian music label giant Saregama earlier this year.

Supported by investors including Catamaran Ventures, Krafton, and Hashed, Loco aims to develop a Twitch-like platform targeting markets where Amazon’s service has either not expanded or has low penetration.

Currently, gamers on its platform in India stream titles such as “Grand Theft Auto V,” “Call of Duty: Infinite Warfare,” “Battlegrounds Mobile India,” “Free Fire,” and “Valorant.” Streamers on the platform generate revenue through virtual goods bought by viewers.

The gaming startup has secured licensing agreements with several game publishers, including Krafton, Activision, and Riot, leveraging what a 2022 pitch deck described as a "first-mover advantage.”