FIRY exits Exit Games stake for $55M as 2021 investment returns 1.1x in cash
Summary
FIRY sold its entire 10.5% stake in Exit Games for $55 million in cash.
The deal closed October 2, 2026, delivering a 1.1x return on FIRY's original stake.
FIRY invested $50 million in Exit Games in July 2021 as Skillz Inc.
"The average 2021-vintage fund has distributed five cents on the dollar, and most of that vintage is still sitting in illiquid marks."
01
Deal mechanics
FIRY, formerly Skillz Inc., invested $50 million in Exit Games in July 2021.
The 10.5% stake sale closed October 2, 2026, netting $55 million in cash.
FIRY received the full $55 million in cash proceeds at closing.
The realized return equals roughly 1.1x the original $50 million investment.
02
Strategic logic
Exit Games built its business around Photon, multiplayer networking tech for major engines and platforms.
Photon powers thousands of titles, including breakout mobile hit Stumble Guys.
"We are exiting in cash and above our purchase price. Cash back on the balance sheet gives FIRY optionality in our other endeavours."
The sale closes FIRY's five-year holding period in the asset.
03
Competitive implications
FIRY's 1.1x cash return stands against Paradise's own benchmark for the asset class.
He cites an average five-cent-on-the-dollar distribution across 2021-vintage venture funds industry-wide.
Most capital from that vintage, per Paradise, remains in illiquid marks.
Exit Games' revenue comes from licensing networking infrastructure across major engines and platforms.
What this means
For Investors & VC: Price secondary bids for 2021-vintage games-infrastructure minority stakes near entry valuation.
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