German startup AUTO1 raises $558 million from SoftBank to expand internationally and build direct car sale and financing opportunities for dealers
Berlin Germany-based used car startup AUTO1 has raised $558 million in funding from Japan’s Softbank to expand internationally and build direct car sale and financing opportunities for dealers. AUTO1 Group connects buyers and sellers of cars via an online platform. Auto1 was launched in 2012 and operates in over 30 countries, selling more than 40,000 cars a month on its associated sites. With the new investment from Softbank Vision Fund, the startup now joins the unicorn club that puts its new valuation at 2.9 billion euros. Last year, the startup had revenue of 1.5 billion euros last year.
AUTO1’s platform adds “efficiency and transparency to the fragmented used car market, which is worth more than $300 billion annually,” said Akshay Naheta, a partner at SoftBank Investment Advisors.
AUTO1 Group is Europe’s leading used-car marketplace with its own certified and diversified inventory. As a brand independent automotive platform, AUTO1 is aimed primarily at the used car trade. By connecting buyers and sellers through technology the company enables consumers as well as dealers to trade seamlessly. Unlike other car platforms platforms like mobile.de or Autoscout24 , Auto1 buys the vehicles themselves and sells them to dealers. Auto1 leverages regional price differences in different countries.
The company is empowering its consumers and dealers with liquidity, more business and first class supply. Sourcing from all channels including OEMs and dealerships. AUTO1 Group owns business units like AUTO1.com, Autohero.com or wirkaufendeinauto.de. AUTO1 Group operates in almost 30 countries and continues to expand rapidly. The company was founded by Christian Bertermann, Christopher Muhr and Hakan Koç. Hakan Koç was formerly a product manager at the online furniture store Home24, and Christian Bertermann, worked for Groupon. To date, the company has raised a total of $1.081 billion.