Motorexchange Raises $13mn in Series C Funding From Tiger Global And Canaan Partners
MotorExchange has closed its $13million Series C funding, led by Tiger Global Management, with participation from existing investor Canaan Partners. The startup had previously raised Series A round of funding in December 2009 from Canaan Partners and other investors including Austin Ligon, Founder CEO of CarMax USA and a Series B round in December 2010 from Canaan Partners again and Epiphany Venture.
MotorExchange was launched in December of 2009 as an online platform for transacting used vehicles. The site enables businesses (financial institutions and fleet owners) and consumers to sell their pre-owned vehicles. It provides Sellers the most efficient price, defined timelines and complete transparency. Buyers on the platform are used auto dealers (including dealers of cars, trucks and two wheelers) who gain access to a large pool of vehicles. The company also owns CarTradeIndia.com, a leading auto classifieds site.
Also, a growing segment that MotorExchange focuses on is repossessed vehicles from commercial banks (that come from loans defaulters). The site conducts open auction events around the same and as far as business model is concerned, MotorExchange charges buyers a commission fee and provides the services to sellers for free.
MotorExchange is promoted by former Mahindra First Choice CEO Vinay Sanghi. Rajan Mehra, ex-eBay India head is also a founder-director.