Cars24 closes $100 Mn Series D round; Shravin Bharti Mittal invests via Unbound

Used cars buying platform Cars24 has scored $100 million worth Series D round led by Unbound and KCK Global. Both the investors have invested $25 million each in the Gurugram-based firm.

The funding round also witnessed the participation from Moore Strategic Ventures, existing investors, including Sequoia Capital,partners of DST Global, and the Agnelli Family.

The series D round kicked off in September this year when the Vikram Chopra-led company raised its first tranche worth $52 million from KCK FZE, among others, which Entrackr reported exclusively.

In the report, we had mentioned that the ongoing round is likely to be closed between $90 to 100 million and Shravin Bharti Mittal may participate in the Series D round with a sizeable cheque through his London-based VC firm Unbound. 

Mittal is a son of telecom tycoon Sunil Bharti Mittal.

In August 2019, Indian cricketer Mahendra Singh Dhoni had also invested an undisclosed amount in Cars24 as a part of series D round. Following the deal, Dhoni became the brand ambassador and owned equity in the startup.

With the fresh proceeds, Cars24 is looking to expedite its go-to-market in India. Currently present in 50 Indian cities, the company is aiming to mark 75 cities by the end of this year and 200 cities by 2020, reports ET.

Floated by former Fabfurnish co-founders Chopra and Mehul Agrawal, Cars24 has an asset-heavy model, which buys the car on behalf of dealers.

Cars24 operates via 176 branches across India. Last year, it had opened the first consumer-facing offline outlet in South Delhi Vasant Square Mall (Vasant Kunj).

Cars24 had fired over 400 people in several tranches between May and July this year. It also received a legal notice from a clutch of landlords for alleged defaults of payments and had to shut down various stores in NCR region.

Used car segment has turned hyper-competitive in the past 12-18 months as several players had raised sizeable funds. CarDekho had raised about 80 million Series C round and in advanced talk to raise next round from China's Autohome.

Spinny, a full-stack retailer for used cars, had also raised $50 million from a few American investors and existing investors. Entrackr had exclusively reported about its Series B round.

Cars24 counts OLX (via Cash My Car), CarDekho, CarTrade and others among its large string of competitors as they all share a similar business model.