CarDekho in talks to raise $100 million in Series D round led by China-based Autohome Inc

The Chinese strategic investor Autohome Inc is speculated to invest $70 million in the funding round making the firm's valuation at $700 million. By far, CarDekho has raised $202 million, including the latest financing round of $110 million.

Jaipur-based automobile firm CarDekho is in talks to raise $100 million in Series D round, led by China-based strategic investor Autohome Inc with a $70 million investment, valuing the firm at $700 million, two people aware of the talks reported requesting anonymity. They added, existing investor Sequoia Capital is also anticipated to invest from its $8 billion global growth fund.

CarDekho, a Girnar group subsidiary, operational since 2007, has built a complete ecosystem to enable its customers to have easy and comfortable access to purchasing and selling cars, as well as information on automobiles. 

Despite a continuing slowdown in automobile sales in India, the firm has observed strategic investor interest. The firm also desires to manage and improve the entire ownership experience by pushing the buying of accessories, tyres, batteries, and insurance and providing roadside assistance.

By far, CarDekho has raised $202 million, including the latest financing round of $110 million. Before this, the firm raised $75 million from investors like Times Internet, Hillhouse Capital, Tybourne Capital, and Sequoia Capital, among others.


CarDekho- growth in revenue, drop in pre-marketing burn

In April, CarDekho announced that it plans to buy back shares worth $2.5 million from its employees in 2019 under the Girnar group ESOP repurchase plan. The firm circulated the offer letter to 71 employees eligible for participating in the repurchase plan. It has seen a 62% growth in its revenue to reach Rs 260 crore mark in FY’19. An 8% drop in its pre-marketing burn amounting to Rs 138 crore was reported for the year. Overall, the company claimed Rs 145 crore exit run rate in the financial year ending in March 2019.

The second-hand car selling-buying platform is looking forward to leverage and plays a significant role in the Indian EV segment (electric vehicle segment), set to boom by 2021-22. Other popular Indian online used car platforms are Cars24, Droom, Quikr, and Olx, among others. According to a report issued by IBEF, the Indian auto industry accounts for 7.1% of the country’s GDP.

The report pinned the Indian automobile market at $125 billion, out of which $100 billion is the estimated share of the automobile sales, and the left $25 billion includes services. The industry is expected to grow at a rate of about 10% to a whopping $225 billion by 2020. 

+ posts

A passionate writer with bachelor’s in the field of English & Journalism. Other than being a bibliophile, some of her hobbies are travelling, photography and poetry.

Disclaimer: The views, thoughts, and opinions expressed in the article have been curated for our audience and does not warrant a 100% accuracy. All the information mentioned in the article is subject to change according to the changing viewpoints. Feel free to reach us at [email protected] for any change or copyright issues.

Note: If you buy something via a link on this page, we might earn a small commission on it.

Saumya Uniyal
Saumya Uniyal
A passionate writer with bachelor’s in the field of English & Journalism. Other than being a bibliophile, some of her hobbies are travelling, photography and poetry.

Leave A Reply

Please enter your comment!
Please enter your name here

related stories

Customer-first marketing is a tactic that allows businesses to create content, product, & marketing campaigns that aim to put their customers first.

Your Ultimate Guide for Customer-First Content Marketing Plan

It offers a significant change from traditional marketing strategy, which focuses on creating marketing initiatives based on their organization's needs over customers' needs.  If you...
With the rapid rise of digitalization and businesses moving online, the popularity of no-code and low code apps is also moving up the ladder.

Democratization of the Tech World with Low-Code and No-Code Platforms

A slew of startups and early-stage companies are choosing NCLC, no code, low code software when the Indian software engineers' monthly remuneration is witnessing...
A growth mindset is an important lesson Elon Musk has taught to every business worldwide. Let us dive into this very lesson today.

Growth Mindset: A Key Success Lesson to Learn from Tesla’s Elon Musk

A stroke of ill luck has caught car companies into mayhem with a worldwide shortage of chips and ships. However, there is one company...
An energy crisis is looming over the coal supplies growing perilously low, adding challenges to the world's fifth-largest economy.

Explained: Why is India Experiencing Coal Crisis

Mere few days ago, people were in chaos as Facebook and its products were down for over six hours (1). Imagine if you had...
The phenomenon of startups helping startups goes a long way in building a dynamic, diverse, and driving entrepreneurial ecosystem.

Peer Mentoring: A Proactive Measure Needed for Startup Success

Being an entrepreneur can be pretty lonely. It is challenging to come across the right person to generate a peer mentoring relationship and learn...
Evergrande, the Chinese real estate giant, is the world's most indebted company at present. It owes more than 300 billion USD in liabilities.

Evergrande Crisis: The Chinese Infrastructure Giant is Set to Collapse

The Evergrande crisis in 2021 is reminding people of the 2008's economic crisis. The colossal Chinese real-estate developer is trembling while also threatening markets...

Get the Attention of High-Profile Founders, Investors, and Executives With These Tips

You may have several reasons for connecting with industry leaders, such as looking for new job opportunities, courting investors, selling their products, consultation, networking,...

Shiba Inu: The Rising Popularity of Dogecoin’s Spin-Off

Dogecoin, a crypto token that started as a joke, is now worth serious money. It is now challenged by an upstart, a puppy-themed competitor:...