Is Roblox the next Minecraft?
The gaming company’s investors think it might be bigger than Minecraft: They are funding it in a new round that will value it at up to $2.4 billion. That’s about the same price Microsoft paid for Minecraft in 2014, so investors are betting that Roblox will ultimately be worth more than that.
Roblox, a 14-year-old company with 64 million monthly players, is now able to raise up to $150 million in new money. Previous backers include First Round Capital and Index Ventures.
Roblox’s funding ambitions were disclosed in a document obtained by PitchBook. Roblox did not respond to request for comment.
Roblox offers a virtual reality world that allows players — think mostly kids around the age of 11 — to do exciting things like eat pizza or avoid dodgeballs in a gymnasium. The free game makes money by “selling” in-game currency, called Robux, that players can use in different parts of the arena.
The company also encourages developers to create games within the game, allowing them to make money and opening Roblox up to more business opportunities. The company has said it is profitable and cash-flow positive, and its hiring of a chief financial officer earlier this year stirred some speculation that the company could be moving toward an initial public offering.
This article originally appeared on Recode.net.