Our law firm advised Something Random, an independent video game development studio from Łódź in connection with obtaining seed financing in the amount of millions of US dollars from NetEase – a Chinese video game industry titan. NetEase will acquire a share in the company’s equity, making this a significant transaction in the Polish video game industry.
“This Silicon Valley style seed financing round is a watershed moment for the Polish gaming industry. Our team has advised in many VC rounds for Polish video game developers, but it is only this year that we are seeing a dramatic shift. The financing is increasing exponentially, and investors are offering less restrictive covenants to founders. This is largely a result of the attention and investments of the international VC community”. – Michał Pękała, a partner and the Head of the Video Games & Entertainment Practice.
Lawyers from our firm advised on every stage of the transaction, including in respect of establishing and registering the company, concluding contracts with new hires, and negotiating the investment agreement. Our law firm also provided advisory services with regard to the deal’s structure, transfers and the due diligence of intellectual property rights (including the relevant transfer clauses in agreements with developers).
“Something Random has a very innovative structure. The Company has had an employee stock option plan (ESOP) from the beginning and will offer stock options to contractors, which is unique for a Polish start-up”. – Jakub Kowal (Senior Associate).
The team of lawyers from our firm was led by Michał Pękała, a partner and the Head of the Video Games & Entertainment Practice, and included Jakub Kowal (Senior Associate) and Mateusz Kłudczyński (Associate).
“This is yet another innovative and significant transaction in the Polish video games sector concluded with the help of Rymarz Zdort Maruta ’s Video Games & Entertainment Practice. Last year, the firm advised IndieBI regarding its corporate organisation and the obtaining of financing with the use of an innovative, convertible loan structure. We are seeing a pattern in these transactions. They include ESOPs and due diligence investigations of intellectual property and the orderly transfer thereof. The company was established by founders with proven experience in the industry. We see value in our work and transactions such as this investment in Something Random help to change the expectations of founders and investors in the general Polish game development industry”. – Michał Pękała.