Tencent Holdings, China's largest gaming and social media company, has bought a majority stake in Indian gaming app Dream11 Fantasy, sources privy to the developments told CNBC-TV18.

Sources tell that Tencent deal values Dream11 at around $750 million. Post the deal, founder Harsh Jain's stake in the company will reduce to around 35 percent.

In an interview to CNBC-TV18, Harsh Jain said, “It's great credibility to our team, for all the work that they have done and to see the world’s largest gaming company invest in us."

“Tencent is counting on the fact that we are able to reach our projections and their investment go towards helping us to that goal. However, it's a much longer strategic partnership that we are signing on for,” Jain added.