BurdaPrincipal Investments adds another unicorn to its investment portfolio as the Carsome Group (Carsome), Southeast Asia’s largest integrated car e-commerce platform
Hubert Burda Media announced its investment in Carsome, the leading used car marketplace platform in Southeast Asia. Burda’s growth capital arm BurdaPrincipal Investments led the US$19M Series B funding round alongside Gobi Partners and other existing investors. This round will be used to strengthen the company’s position in Indonesia and Thailand, the region’s largest automotive markets. The company is headquartered in Malaysia and employs over 150 employees.
“We feel Southeast Asia's burgeoning automotive sector is in the early stages of a digital transformation and believe there is a tremendous opportunity for Carsome to bridge the offline-to-online space. We are thrilled to join them as they build the leading used car platform in the region.”
Albert Shyy, Principal of BurdaPrincipal Investments
“Currently, Southeast Asia’s used car industry – estimated to be valued at over US$30 billion yearly – is still highly fragmented, inefficient and lacks transparency. Carsome takes on these problems by providing a seamless and transparent online used car selling process; one that provides users an easier way to sell their cars to dealers nationwide in a fast, fair and free manner.”
Eric Cheng, Co-Founder and CEO of Carsome
CEO Eric Cheng and COO Jiun Ee Teoh founded Carsome in May 2015. Through its online bidding portal, customers are able to sell their vehicles directly to dealers nationwide. Carsome facilitates the entire car selling process from inspection, to valuation, bidding and payment as well as logistics needs, allowing the customers to sell their cars as fast as one day with zero charges and minimal effort.
Carsome’s monthly total transaction value has increased by more than fourfold since January 2017. Total car sales facilitated on its platform have more than quadrupled with more than 70% of the transactions being done inter-city, which is a strong testament to the value proposition and product fit of Carsome’s business model. They have also grown their staff strength to over 150 in all four operating countries to cater for the rapid expansion of their business.
BurdaPrincipal Investments has significant experience investing globally in ecommerce and marketplace platforms. The company provides long term growth equity for fast growing digital technology and media companies. Current investments include Zilingo, Etsy, Notonthehighstreet.com, M.Gemi, Vinted and Showroom.