CARS24 Enters Unicorn Club After Raising $200 Million Fund

CARS24, a next-gen e-commerce platform for pre-owned automobile transactions has now turned to be the latest Indian startup to become a unicorn. The company has announced that it has raised about $200 million in Series-E funding round, which is led by DST Global, where it was valued at more than $1 billion.

Commenting on the fundraising, Vikram Chopra, Co-Founder, and Chief Executive says, “Traditionally, selling or buying cars has been a tiresome process. But, in the past five years, we have strived to transform the customer's journey the CARS24 way, which 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.”

The company's existing investors namely Moore Strategic Ventures, Exor Seeds, and Unbound, also participated in the funding round.
The funds raised would be used by the company in technology and product innovation, for scaling up new business verticals. There are around 200,000 transactions and a four-fold increase in the website engagement in CARS24, which already had surpassed its pre-Covid business level, informed CARS24.

Rahul Mehta, Managing Partner, DST Global states, “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 are looking forward to working together as they continue to deliver tremendous value to the entire ecosystem through the first principles of thinking.”

Lately, CARS24 ventured into the used two-wheelers section, and within just six months of operations, it testified more than 3,000 two-wheeler transactions.For financing business, CARS24 has obtained an NBFC license previously. It is now providing quick and easy loan plans with two-hour disbursements.