Online car classifieds Cardekho has made a tentative closure of $75 million in the latest mega round from new as well as existing investors. According to three sources, the company had closed the deal last month and would be announcing it soon.
“CarDekho was in talks with investors for about three months. Initially, there were some differences over valuation. However, a consensus was reached recently,” reveal two sources. Sources requested anonymity as they aren’t authorised to speak to media.
Existing investors including Ratan Tata, Times Internet, HDFC Bank, Hillhouse Capital, Tybourne Capital, and Dentsu Inc had participated in the recent round. Entrackr couldn’t ascertain the participation of any new investor in the financing round.
“The round is still open and it may be extended up to $150-170 million,” add sources. This is the much-needed capital bolster for CarDekho. The company was in market to raise fund for about 18-20 months.
Entrackr has reached out to Amit Jain (CarDekho co-founder and CEO) for confirmation. However, he declined to comment.
With this $75 million round, CarDekho has raked in about $175 million total risk capital. Previously, it raised $15 million round led by Google Capital and existing investors in early 2016. In December 2014, it scooped up $50 million Series B round led by Chinese investor Hillhouse Capital.
Interestingly, Sequoia Capital had recently led a $50 million round in Cars24. Several observers and experts believed that Sequoia has changed side by backing Gurugram-based firm. Although, its investment in Cars24 is different from CarDekho.
CarDekho follows classifieds (for users) and lead generation (OEMs and dealers) models while Cars24 buys used cars on behalf of dealers.
In comparison, its’s rival CarTrade has scooped up over $240 million risk capital across six financing rounds. Last year, the Mumbai-based company had raised $55 million Series F round led by Temasek Holdings.