New investors during this round included MUFG Innovation Partners, Daiwa PI Partners, Endeavor Catalyst, and Ondine Capital who joined existing investors Convergence Ventures and Gobi Partners who also participated in the round.
These new funds will help Carsome "consolidate...market leadership in Malaysia, Indonesia and Thailand, with expansion into more cities in Southeast Asia”, and help boost financial product services for auto dealers and consumers.
As apart of the investment, Carsome and MUFG will team together within Southeast Asia to offer financial access for auto dealer and consumers through its platform. MUFG already owns the Indonesian bank and auto financing company, Danamon, and one of the largest lending banks in Thailand, Krungsri.
This partnership will also allow MUFG and its subsidiary company to offer B2B and B2C financing through Carsome's platform.
Currently, Carsome is an auto selling platform with a full-stack solution that includes inspection all the way to transferring ownership. The company claims its platform facilitates around 40,000 cars every year for around $300 million in value.
Carcome covers over 6,000 auto dealers throughout 50 cities in Malaysia, Indonesia, Singapore, and Thailand. Currently the company's operations are profitable within Malaysia and hopes to the same in the remaining markets by the end of next year.
Eric Cheng, Co-Founder and CEO of Carsome, said: “With over 4 million used car transactions annually in Southeast Asia, Carsome transacts 1 per cent of annual second-hand car sales in the region. We have helped over 6,000 dealers in growing their businesses and have become their closest working partners. We have also served over a million customers with a whole new experience in car trading – transparent, convenient and the fastest of its kind.”
“We aspire to be the Visa/Master network of auto transactions, and build a collaborative ecosystem of partners to provide the best experience to consumers in Southeast Asia,” he added.
During the beginning of 2018, Carsome raised $19 million led primarily by Burda Principal Investments and then extended the funding round to raise an additional $8 million during the end of summer 2018.
Carsome also recently announced some new hires including the former CMO of redONE, Danny Chin to be CMO and FWD Insurance's previous Head of IT and Digital Commerce, Chet Sin, to be the new CTO.
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