CARS24 Secures Rs 345.2 Cr From Singapore Parent, Gears Up for IPO

CARS24, the auto marketplace startup, has just raised INR 345.2 crore (about $40 million) from its Singapore-based parent, Global Car Group Limited. This investment comes after a previous infusion of INR 250 crore last year and is planned for working capital and to strengthen CARS24’s main business as the company moves closer to its IPO. CARS24’s Board approved the latest share allotment at INR 11,347 per share in July 2025.

Funding History and Business Expansion

Since its founding in 2015 by Gajendra Jangid, Vikram Chopra, Ruchit Agarwal, and Mehul Agrawal, CARS24 has raised over $1.3 billion across multiple rounds. It became a unicorn in 2020 with a $200 million Series E led by DST Global, and by December 2021, it was valued at $3.3 billion after closing another $400 million funding round. The company raised $450 million in its biggest Series F round, with the funding fueling global expansion and new business lines, including loans and financial services.

CARS24 now offers not just buying and selling of used cars, but also new vehicles, insurance, warranties, and financing options through platforms like LOANS24. In April, CARS24 even acquired Team-BHP, strengthening its digital and community presence.

Restructuring Before IPO

To prepare for the IPO and focus operations, CARS24 has closed less profitable verticals such as Inspare (B2B parts), FourDoor (car servicing), and AutoPilot (on-demand drivers), resulting in over 300 layoffs. Its main focus remains on its core online used car marketplace, financial services, and expanding in India and global markets like Australia, the UAE, Southeast Asia, and the Middle East.

On the financial front, CARS24’s FY24 revenue rose by 25% to INR 6,917 crore, but net loss also increased by 7% to INR 498 crore, mainly due to heavy investment in technology, data science, and improving customer experience.

Competition: Spinny, CarDekho, and Carsome

Spinny:

• Spinny has also raised significant funds, securing approximately $170 million in 2025 with WestBridge Capital joining the round. Its valuation remains around $1.7 billion, backed by investors like Tiger Global and Accel.
• Spinny’s FY24 operating revenue grew to Rs 3,725 crore, while losses reduced by 28% to Rs 590 crore, indicating gains in operational efficiency.
• The company recently acquired popular auto magazine Autocar India, strengthening its content and community link, and is expanding its own financial services.

CarDekho:

• CarDekho is preparing for its own IPO in 2025; the company aims to raise up to $500 million, targeting a valuation between $2–2.5 billion.
• Its Southeast Asia unit raised $60 million in late 2024 to expand in Indonesia and the Philippines and enter new product lines such as insurance and finance.
• CarDekho has exited the used car retail business in India, focusing instead on marketplaces, tech, and content.

Carsome:

• Malaysia-based Carsome, a strong regional player, completed a MYR 100 million ($21 million) debt financing round with AmBank Group in July 2024, and has raised over $551 million to date.
• Carsome is doubling down on used car financing, tech upgrades, and expanding in Southeast Asia.

Check out: Bike Taxis Are Back in Bengaluru as Uber and Rapido Restart Operations After 2-Month Ban

The Road Ahead

CARS24 and its key rivals are all streamlining and expanding as they prepare for public listings and sharpen their service offerings. CARS24’s latest funding round and business restructuring clearly show the focus on profitability and growth before its IPO. Meanwhile, Spinny and CarDekho are not far behind—raising funds, launching new tech, and expanding their own offerings in India and abroad.