CarDekho.com Raises Fresh Funds Worth Rs 307 Crore

In a fresh round of funding led by Hillhouse Capital and Tybourne Capital, auto classifieds website CarDekho.com has raised $50 million (about Rs 307 crore). CarDekho’s existing investor Sequoia Capital, which currently has a 20% stake in the company, also participated in the funding process.

The seven year-old company, which sells both used and new cars on its platform, has now joined the club of Indian consumer Internet companies valued at Rs 1,000 crore or more.

"We will be using the proceeds primarily towards brand building and marketing. We will consider acquisitions as well, and have held talks with other start-ups that we feel can enhance our technology platform," said Amit Jain, co-founder and chief executive officer (CEO) at CarDekho.
CarDekho’s chief competitors are Tiger Global, CarTrade.com and Carwale.com. It also faces competition from classifieds websites like OLX and eBay-backed Quikr.

"Given the adoption of the Internet in India, especially through mobile, we're targeting revenue of Rs 500-600 crore, and a billion dollar valuation over the next four to five years," said Jain.

A number of global hedge funds have been pumping cash into the country’s consumer Internet businesses for the last two years.