Singapore-headquartered BuzzCity, which also runs mobile social network myGamma, myGamma.com has raised $10 million by diluting a 25% stake from Naspers, the South African parent of MIH.
MIH India Global Internet, the holding company for Indian Internet properties like ibibo.com, dwaar.com, onefamily.com, Newscola.com and bixee.com, and ad network AdWinks. BuzzCity. This is the third round of funding for the global wireless communities and consumer services provider which recently raised $10m in second round of funding. The investors who led the second round of funding for Buzzcity, the 3i Group, BancBoston Capital and Singapore Press Holdings Multimedia (SPHM) have exited. SPHM still retains a small stake in the company. Buzzcity, CEO Lai Kok Fung confessed on the mygamma blog that it was the mobile advertising business which Naspers bet big on more than the paid services, the initial business model BuzzCity began with.
Buzz City plans to utilize the funds for hiring more business development people, building more localized versions of myGamma, having a long terms view to explore the opportunities that are available in mobile social networking and mobile advertising. Fung in his blog also mentions that he expects BuzzCity will expand in Africa, Middle East and Latin America, and will strengthen its operations across Asia, Europe and the US.
India is BuzzCity's second largest market after Indonesia, with claims of 6,69,000 users here. It's clientele includes HDFC Standard Life, Indiatimes, Tata AIG, Nazara, ICICI Bank and Kodak. The company launched their India operations in 2005, and Milind Naik and Manish Mishra represent Buzz City here.