CarDekho Raises $50mn In Fresh Funding; Valuation Crosses $300mn

Online automotive classifieds has raised $50 million in a new round of funding led by Chinese funds Hillhouse Capital and Tybourne Capital. Including the latest round of funding, the company is now valued at $300 million, joining the ranks of companies like BookMyShow, Zomato and Quikr.
CarDekho plans to use the newly raised funds primarily towards brand building and marketing, but could also consider acquiring startups that could enhance its technology platform. Apart from the two Chinese investors, Sequoia Capital which had picked up a 20% stake in the company with an investment of $15 million in 2013 also took part in the latest round of funding.
The company’s chief rivals in the automotive classifieds space in India are – which secured $30 million in funding led by Warburg Pincus in October 2014 – and In September last year, also completed the acquisition of, in order to boost revenues from the pre-owned car market.
On the other hand also competes with multi-category classifieds such as OLX and Quikr.
Looking forward, is targeting a billion dollar valuation within the next 4-5 years, with growth primarily driven by the speedy adoption of the Internet in the country. The company currently has ties with 1,800 used car dealers as well as about eight auto manufacturers for the sale of new cars on its platform.
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