Riyadh – Sharikat Mubasher: Saudi-based Floaty Studio has raised $1 million in a funding round led by Merak Gaming Fund, the gaming-focused investment fund managed by Merak Capital, to accelerate the development of new mobile games and support its expansion plans.

According to a recent press release, this investment reflects the continued growth of Saudi Arabia’s gaming industry, where specialized funds are increasing their support for local studios as the Kingdom works to build a globally competitive gaming ecosystem.

Founded in 2023, Floaty Studio develops mobile games for global audiences. Its current portfolio includes Pirasea, a pirate-themed strategy game, and Hero Squad, an action game featuring battles between heroes and hostile robots.

The deal is the latest investment by Merak Gaming Fund, which has also backed Saudi gaming startups Qwacks and Khosouf Studio as part of its strategy to strengthen the country's game development sector.

Merak Gaming Fund operates through an $80 million investment vehicle dedicated to gaming startups. It also complements Exel by Merak, an accelerator program that has invested more than $5.1 million in 17 startups since its launch while continuing to accept applications for future cohorts.