Singaporean auto market Carro says he raises $ 360 million to become a unicorn, Auto News, ET Auto
SINGAPORE: Carro, a Southeast Asian online automotive marketplace headquartered in Singapore, said on Tuesday it had raised $ 360 million in its latest round of funding led by SoftBank Vision Fund 2, becoming the last unicorn in the region.
“The company’s valuation is well over $ 1 billion,” Carro CEO and founder Aaron Tan told Reuters. He did not provide a specific number.
Carro will use the new capital to expand into new locations and expand its business into its existing markets – Indonesia, Thailand, Malaysia and Singapore. It also plans to expand its financial services portfolio and accelerate the development of artificial intelligence capabilities.
Carro’s platform enables consumers and wholesalers to buy and sell vehicles while providing insurance and financing services.
Other investors in the new funding round include several leading Indonesian funds, including EV Growth, he said.
Since its inception in 2015, Carro has raised over $ 400 million in equity and $ 200 million in debt. Its previous investors include SoftBank Ventures Asia, EDBI Pte, Insignia Ventures Partners and B Capital Group.
The company has started preparing internally for an initial public offering (IPO), Tan said.
“The plan is to hopefully go public in the next 18-24 months in the United States, depending on how the market holds up,” he said.
While Carro experienced an initial decline in business due to the COVID-19 pandemic, like other digital businesses, the company is now benefiting from the shift of users to online transactions.
“People are more willing to buy vehicles entirely online without having to visit a showroom,” he said.
Carro recorded revenues of $ 300 million for the fiscal year ending March 2021 and recorded positive EBITDA (earnings before interest, taxes, depreciation and amortization) for two years.