Showroom, the Japan-based digital entertainment service spun off from internet company DeNA, has raised an undisclosed amount in a primary and secondary round that took its total financing to ¥4.4bn ($40.9m).
Video rental and bookstore chain operator Culture Convenience Club and broadcaster TV Asahi Holdings invested directly while telecommunications company KDDI participated through its Open Innovation Fund.
SBI Investment, the vehicle for financial services firm SBI Holdings, filled out the round. The transaction involved DeNA selling some of its shares in Showroom, which shifted from a consolidated subsidiary to an equity-method affiliate in the process.
Showroom runs a streaming platform with 4 million users that broadcasts concerts and other live performances in real time.
KDDI Open Innovation Fund had already provided an undisclosed amount for the company in March this year. The deal came as it formed a strategic partnership enabling Showroom to leverage its 5G technology in a bid to enhance the video viewing experience.
DeNA had already sold part of its stake in Showroom through a $28.6m round in November 2019 that included equity funding from marketing agency Dentsu, media company Nippon Broadcasting System, internet group GMO, mobile game publisher Akatsuki and business development firm Dream Incubator.
