As part of a Series F financing, CARS24 raised $340 million. It is now valued at $1.84 billion which is double the amount as compared to its previous evaluation. The round also included several other well-known names in the startup community like DoorDash co-founder and CEO Tony Xu, StockX CEO Scott Cutler, and Wealthsimple CEO Michael Katchen. Ankur Shah is among the Chief Finance and Strategy Officers. He served as CEO of Careem, SASA Holdings, and Willoughby Capital’s family office.
Among the Series, F equity round participants were DST Global, Falcon Edge, SoftBank Vision Fund 2*, Tencent, and existing investors Moore Strategic Ventures and Exor Seeds. The company stated that getting this round of funding will allow it to expand internationally, invest in technology, and enhance consumer financing options.
CARS24 Expansion to UAE and Australia
CARS24 is the market leader in India’s online used car segment with over 90% market share. They successfully launched operations in the UAE and Australia in 2021. As part of its international expansion strategy they promised, it has its eyes set on expanding into the Southeast Asia region.
According to Mr. Abhijeet Dabas, CEO of CARS24 in South East Asia, they gained customer trust first in India, then in the UAE, and now in Australia. They have been doing so by continuously improving the end‑to‑end service with data science and technology. As part of its customer experience service, the company brought convenience, safety, and transparency in purchasing pre-owned cars into Southeast Asia.
Further, the CEO noted that they would direct more effort towards encouraging consumers to embrace the convenience and simplicity of buying their next car entirely online, just like they do for smartphones, fashion, and home appliances.
According to Vikram Chopra, CARS24’s CEO and co-founder, the company is growing thanks to its unique technology platform and outstanding customer service. He concludes that this technology resonates well with their customers worldwide.
Chopra elaborated on its international expansion plans, saying that its entry into the UAE, Australia, and Southeast Asian markets marks a step in its growth trajectory. He said that the company is well-positioned for rapid international expansion and plans on continuing to offer its burgeoning list of products in newer markets that have been at the forefront of adopting new technology and innovation.
In 2021, CARS24 expects to invest more than $100 million in international markets. As a result of this investment, the company said in a statement that – to ensure top quality, the brand would be available in these new territories, along with an ample supply of cars and a top-of-the-line workshop for servicing cars.
Conclusion
Tencent and existing investors contributed to the Series F equity round led by DST Global, Falcon Edge, and SoftBank Vision Fund. CARS24 intends on using these funds for the national growth of cars, bikes and to speed up technological innovation and global expansion. Private investors have also backed it, including cricketer MS Dhoni, who invested this year.
