Vatar Incorporated, the company behind viral Nigerian browser game Lagos Life, has raised $500,000 in pre-seed funding at a $10 million valuation, days after its incorporation.
The funding round closed within a day, according to TechCabal, with investors including Flutterwave chief executive Olugbenga Agboola, who participated through his investment fund, Resilience17.
Other investors include angel investor Oo Nwoye, Terra Industries chief executive Nathan Nwachuku and Mono’s Abdulhamid Hassan.
Vatar was founded on October 6, 2026, by Shalom Rayhamen, Owen Rayhamen and Anderson Oriahi. The company plans to use the funds for product development, marketing and recruitment.
Lagos Life launched on October 1 and has attracted more than 4.3 million users across 15 countries. The game has recorded over 100,000 active players at a time, with peak concurrent users exceeding 200,000.
Nigeria accounts for its largest audience, followed by the United States, the United Kingdom, Ghana, Canada and the Netherlands.
Shalom Rayhamen, Vatar’s chief executive, told TechCabal that the game’s rapid growth encouraged the company to close the funding round quickly so the team could focus on improving the product.
The browser-based game allows players to create characters, find jobs, earn virtual naira, pay rent and interact in a digital city modelled on everyday Nigerian life. Its features draw on familiar experiences such as power outages, public transport, employment and local entertainment, alongside a virtual political system where players can choose leaders for the simulated city.
Rayhamen developed the initial version with the help of artificial intelligence tools, drawing inspiration from The Sims 3 and the idea of building a digital environment that reflects Nigerian life. She had also encountered the Nigerian game Lagos Run, which centres on driving a danfo bus through Lagos.
Vatar has begun generating revenue through advertising, music promotion, commercial partnerships, football streaming and virtual currency sales. Businesses can pay for billboards and plots in the game, while musicians can pay to have their songs played in virtual clubs. Food delivery company Chowdeck is integrated into the game as an application on players’ virtual phones.
Rayhamen told TechCabal that the company had earned and contracted more than $170,000 in revenue since launch, compared with about $46,900 during its first four days. She did not disclose operating costs or confirm whether the business was profitable.
The company has also introduced age verification and safety features, including message screening, reporting and blocking tools, as it expands the platform.
Vatar has added Port Harcourt to the game and plans to introduce more locations and features as development continues.
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