4X increase in website traffic, monthly transactions surpassing pre-COVID levels and successful foray into two-wheelers segment
To aggressively invest in tech & product innovation and new business verticals to fulfil its mission of transforming how pre-owned vehicles are bought, sold & financed
Bengaluru, NFAPost: CARS24, India’s leading online transaction platform for pre-owned vehicles, announced a $200 million Series E funding round led by DST Global with participation from existing investors including Exor Seeds, Moore Strategic Ventures and Unbound at a valuation of over $1 billion.
This funding will be used to invest aggressively in technology & product innovation and scale new business verticals. With annual transactions exceeding 2,00,000 units and 4X increase in website engagement, the company has already surpassed pre-COVID levels.
A leader in the pre-owned car market, CARS24 has a strong foundation in technology which has made the customer experience efficient, reliable, and trustworthy.
The company has reshaped the industry with its superior tech capabilities that includes unique vehicle appraisal technology, AI-enabled pricing algorithms that gives the accurate market price of a vehicle, and a scaled infrastructure that ensures seamless execution.
Commenting on the funding, CARS24 Co-founder and CEO Vikram Chopra said traditionally, car selling or buying has been a tiresome process, however, over the last five years, CARS24 has strived to transform the customer’s journey- ‘the CARS24 way’ that is hassle-free, safe and transparent.
“With this investment, we will continue to innovate our product and bolster our capabilities to provide the best experience for all parties – with sellers getting the best value for their car, and buyers getting to choose from a wide assortment of automobiles,” said CARS24 Co-founder and CEO Vikram Chopra.
DST Global managing partner Rahul Mehta said CARS24 has pioneered a significantly differentiated experience for the customer and dealer by deeply leveraging data and technology at each step, resulting in world-class operational efficiency and market leadership in the segment.
“We are very excited to partner with Vikram, Mehul, Ruchit, Gajendra and the entire management team and look forward to working together as they continue to deliver tremendous value to the entire ecosystem through first principles thinking,” said DST Global managing partner Rahul Mehta.
CARS24 recently forayed into the used two-wheelers category and in less than 6 months of operations, the company has already transacted over 3,000 two-wheelers. CARS24 also acquired an NBFC license last year for its financing business and is now providing quick and easy loan plans with 2-hour disbursals.
CARS24 is the largest online transaction platform for pre-owned vehicles in India. Founded in 2015 by Vikram Chopra, Mehul Agrawal, Ruchit Agarwal and Gajendra Jangid, it offers an efficient, reliable, and hassle-free transacting experience to customers to buy and sell pre-owned vehicles (cars and bikes) as well as financing options. CARS24 operates in over 130 cities in India.
Since its inception, CARS24 has built a strong technology backbone that features various first-of-its-kind offerings including an innovative auction format, a state-of-the-art proprietary inspection app, and a powerful algorithm that matches supply and demand across the country. In addition, CARS24 also features an innovative price discovery mechanism for used vehicles.
CARS24 is the first player in the pre-owned vehicle industry to procure a non-banking financial company (NBFC) license and launch consumer lending business with CARS24 Financial Services and two-wheeler segment CARS24 MOTO.
It is backed by marquee investors like Sequoia India, Exor Seeds (venture arm of Exor, one of the world’s leading holding companies controlled by the Agnelli Family), DST Global, Kingsway Capital (London based multi-billion US$ fund), Unbound (global investment firm headquartered in London), Moore Strategic Ventures and KCK (Silicon Valley & New York based investment firm).
DST Global is one of the leading Internet investment firms globally. Its investments include some of the world’s fastest growing and most valuable companies. DST Global has offices in Silicon Valley, New York, London, Beijing and Hong Kong.