Almaz Capital buys stake in casual games firm Alawar

Venture capital firm Almaz Capital Partners has bought a 23 per cent stake in Russian casual games developer Alawar Entertainment.

The equity stake was acquired by Almaz from Finam Investment Holding, which bought into the company in August 2007.

Alawar is a leading distributor of casual games in Russia, having developed over 60 games for distribution through its websites. It has released onto platforms including the iPhone, PC, PS3 and Android, and has a distribution network spanning Ukraine, Poland, Germany and Finland.

"During our cooperation with Finam we've made great progress in the distribution of casual games in Russia and now the company is well-positioned for a new stage of corporate development, which will mainly focus on international expansion. Leveraging the network and experience of Almaz Capital Partners, we plan to enter new markets and extend the reach of our existing and upcoming titles," said Alexander Lyskovsky, CEO of Alawar.

"A key element of our investment strategy is to find innovative companies in Russia that are prepared for dynamic growth in other global markets. Alawar fits perfectly into this strategy. Under the leadership of Alexander Lyskovsky and with the efforts of his talented team, Alawar Entertainment has established a leadership position in the Russian casual gaming market and is poised to expand globally," added Alexander Galitsky, managing partner at Almaz Capital Partners.

Alawar has seen its average turnover growth increase 120 per cent per year in the last three years. In 2010 it plans to enter both the social gaming and MMO markets, as well as expand onto other platforms.