AUTOMOTIVE marketplace operator Carro has made a US$30 million investment in myTukar, a car-bidding online platform in Malaysia, the startup announced on Thursday.
Launched in 2018, myTukar allows private car sellers to engage in a live bidding process with used car dealers. The platform says it has facilitated over 1,000 car sales and works with over 1,500 dealers. According to Crunchbase, myTukar raised US$875,000 in seed funding last year from unspecified investors.
The strategic investment marks Carro's entry into Malaysia as part of its regional expansion plans. Founded in 2015, the Singapore-headquartered firm also has a presence in Indonesia and Thailand.
Carro chief executive Aaron Tan told The Business Times in August that the startup is pursuing inorganic growth, with four acquisitions in the pipeline by end-2019. It most recently raised US$90 million in Series B funds, with investors including SoftBank Ventures Asia and EDBI.
With the fresh funds, myTukar will expand further in Malaysia and set up a car financing centre to offer auto loan services. As part of its broader strategy, Carro is focusing on connecting traditional car dealerships with private sellers via e-commerce channels, the firm said in a press release.
"Malaysia is one of the leading automotive markets and most digitally-savvy countries in South-east Asia, so this was the next logical step for us…Through myTukar, we plan on working with thousands of dealers across Malaysia to catalyse the growth of the used car market. Over the next few years, we plan to triple their existing transaction volume to over S$500 million," Mr Tan said in the release.
Fong Hon Sum, chief executive of myTukar, said: "Carro's investment will be highly crucial for our vision. With their technological support and regional experience, we believe that we can work together to enhance the digital experience of Malaysian car dealerships across the country."