Gurugram-based Spinny has closed a $131 million led by US-based Accel Leaders Fund – in a mix of primary and secondary transactions at a flat valuation, people in the know said. The used-car sales platform has received the first tranche of the $107 million primary component from Accel and Nandan Nilekani’s Fundamentum, with the second tranche expected to come by the last week of April.
Regulatory filings made with the Registrar of Companies (RoC) showed that Accel and Fundamentum have put in $52 million.
“There is a $23-24 million secondary transaction also being finalised,” the person said.
This investment is part of a broader internal round exceeding $100 million, taking place at a largely flat valuation, according to people familiar with the discussions.
Of the $52 million, Accel has pumped nearly $49 million, with the remainder coming from Fundamentum.
Spinny last raised $283 million in December 2021 in a round led by Abu Dhabi-based ADQ, Tiger Global, and Avenir Growth, propelling it into the unicorn club with a valuation of approximately $1.8 billion.
As part of this larger round, other existing investors, including Elevation Capital and General Catalyst, are also expected to participate, sources said.
This marks not only Spinny’s first major funding round since the investment surge of 2021 but also a significant deal in the broader used-car sales and classifieds sector, which includes players such as SoftBank-backed Cars24 and Peak XV Partners-backed CarDekho Group.
Cars24 raised $329 million in December 2021, led by Alpha Wave Global, while CarDekho’s parent company, GirnarSoft, secured $250 million from LeapFrog Investments in October 2021.
During this prolonged funding winter, used-car sales platforms have focused on consolidation, shutting down loss-making verticals, reducing headcount, and prioritising margins.
In FY24, Spinny narrowed its net loss to Rs 590 crore from Rs 820 crore the previous year, following rationalisation efforts in a year that saw slowing growth in the pre-owned vehicle market. The company reported a 14% year-on-year increase in operating revenue to Rs 3,725 crore for FY24.
“Spinny has prioritised gross margin expansion over the last few years, leading to lower customer acquisition costs, improved tech efficiencies, and rationalisation across departments,” a person familiar with the matter said.
During FY24, Spinny merged its budget and luxury car offerings, Truebil and Spinny Max, into its main platform—a move that resulted in 300 job cuts.
In November, Spinny’s founder and CEO, Niraj Singh, told ET that he expected the company’s revenue to grow 25-30% in FY25, with ancillary services such as lending, which currently contribute only a small share, playing a larger role.
“Spinny’s latest funding is likely a precursor to increased activity in this space. Cars24 and CarDekho are also expected to raise capital soon,” a mobility-focused investor told ET.
Cars24 has been expanding its offerings, launching a super app for car owners and entering the new-car sales segment. Meanwhile, CarDekho Group is understood to be preparing for a potential initial public offering (IPO).
Regulatory filings made with the Registrar of Companies (RoC) showed that Accel and Fundamentum have put in $52 million.
“There is a $23-24 million secondary transaction also being finalised,” the person said.
This investment is part of a broader internal round exceeding $100 million, taking place at a largely flat valuation, according to people familiar with the discussions.
Of the $52 million, Accel has pumped nearly $49 million, with the remainder coming from Fundamentum.
Spinny last raised $283 million in December 2021 in a round led by Abu Dhabi-based ADQ, Tiger Global, and Avenir Growth, propelling it into the unicorn club with a valuation of approximately $1.8 billion.
As part of this larger round, other existing investors, including Elevation Capital and General Catalyst, are also expected to participate, sources said.
This marks not only Spinny’s first major funding round since the investment surge of 2021 but also a significant deal in the broader used-car sales and classifieds sector, which includes players such as SoftBank-backed Cars24 and Peak XV Partners-backed CarDekho Group.
Cars24 raised $329 million in December 2021, led by Alpha Wave Global, while CarDekho’s parent company, GirnarSoft, secured $250 million from LeapFrog Investments in October 2021.
During this prolonged funding winter, used-car sales platforms have focused on consolidation, shutting down loss-making verticals, reducing headcount, and prioritising margins.
In FY24, Spinny narrowed its net loss to Rs 590 crore from Rs 820 crore the previous year, following rationalisation efforts in a year that saw slowing growth in the pre-owned vehicle market. The company reported a 14% year-on-year increase in operating revenue to Rs 3,725 crore for FY24.
“Spinny has prioritised gross margin expansion over the last few years, leading to lower customer acquisition costs, improved tech efficiencies, and rationalisation across departments,” a person familiar with the matter said.
During FY24, Spinny merged its budget and luxury car offerings, Truebil and Spinny Max, into its main platform—a move that resulted in 300 job cuts.
In November, Spinny’s founder and CEO, Niraj Singh, told ET that he expected the company’s revenue to grow 25-30% in FY25, with ancillary services such as lending, which currently contribute only a small share, playing a larger role.
“Spinny’s latest funding is likely a precursor to increased activity in this space. Cars24 and CarDekho are also expected to raise capital soon,” a mobility-focused investor told ET.
Cars24 has been expanding its offerings, launching a super app for car owners and entering the new-car sales segment. Meanwhile, CarDekho Group is understood to be preparing for a potential initial public offering (IPO).
