Singapore-based automotive marketplace Carro has snagged another US$$30 million as part of its Series B round, having earlier secured US$60 million, and used the funds to acquire Indonesian e-commerce site Jualo.com. The latest funds injection pushes the startup's total amount raised to US$100 million since its inception in 2015.
Carro's existing investors joined the latest round, including B Capital Group, Singtel Innov8, and Golden Gate Ventures, as well as new investors such as Softbank Ventures Asia, EDBI, Dietrich Foundation, and Hanhwa Asset Management.
According to Carro, the funding would go towards its expansion efforts in Southeast Asia, kicking off with its acquisition in Indonesia, where Jualo.com clocked more than 4 million users a month and processed more than US$1 billion in transactions last year. The consumer-to-consumer (C2C) e-commerce site facilitated the trading of new and used goods across 300 categories, including cars, property, fashion, and electronics.
Noting that Indonesia was the region's latest automotive market, Carro's CEO and founder Aaron Tan said the acquisition would boost the reach of his company's technology platform in Southeast Asia. "This also underscores our commitment to provide better automotive trading experiences to Indonesians and propels our growth in Southeast Asia," Tan said.
Carro did not reveal financial details involved in the acquisition.
The startup, which also has operations in Thailand and Indonesia, processed transactions exceeding US$500 million last year, compared to US$250 million in 2017 and US$120 million in 2016. It offers various automotive services on its site including the buying and selling of cars, financing, insurance, and roadside assistance.
It introduced a subscription service in Singapore in May, enabling consumers to pay a monthly fee for access to a car of their choice and without having to pay for other associated costs such as road tax, maintenance, and insurance. With three plans ranging from S$1,199 to S$1,999 a month, depending on the cars they choose, customers would be able to drive off with the likes of Volkswagen Golf, Mercedes, and BMW, as well as sports utility vehicles and 7-seater options.
According to Carro, more than 4,000 vehicles are transacted each month on its sites in Indonesia and Thailand.
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One of the earliest e-commerce market players in Singapore, Qoo10 is planning a new round of funding as it looks to refocus on the local market, which it says still offers significant growth potential.
Southeast Asian internet economy will be worth US$72 billion by year-end, fuelled by increasing number of mobile users and high-growth markets such as e-commerce and ride-hailing, reveals annual Google-Temasek study.
Asia-Pacific e-commerce market is projected to grow 12 percent annually to hit US$2.1 trillion by 2021, as digital payments such as mobile wallets and bank transfers gain traction among shoppers.
Estimated to be worth US$53 billion by 2023, the Southeast Asian online retail market is the emerging battleground for Chinese tech giants--Alibaba, Baidu, Didi, JD.com, and Tencent--which have been investing aggressively in the region.