Key facts
- Carro has acquired Australian used-car platform CarPlace.
- This acquisition marks Carro's expansion into its eighth market.
- CarPlace is operated by Autoleague, which will retain a strategic shareholder stake.
- Carro intends to deploy its technology to enhance vehicle checks, stock tracking, and customer experience in Australia.
- The company plans to expand wholesale operations in Australia, including importing vehicles from Japan.
Singapore-based online car marketplace Carro has acquired Australian used-car platform CarPlace, marking its entry into Australia and expanding its reach to eight markets. The company announced the deal on Thursday.
Carro had previously indicated in September its interest in mergers and acquisitions to enter the Australian market ahead of a potential dual listing. The acquisition grants Carro operations in Western Australia, Queensland, and Victoria, covering three of Australia's four largest car markets. Financial terms of the deal were not disclosed.
CarPlace is operated by Autoleague, one of Australia's largest automotive groups. Autoleague will remain a strategic shareholder in CarPlace and become a strategic investor in Carro.
Carro stated its intention to utilize its technology to enhance vehicle checks, stock tracking, dealer networks, and the overall customer experience in Australia. Aaron Tan, co-founder and CEO of Carro, highlighted Australia as one of the largest used-car markets in the Asia Pacific region, with annual sales of 2.3 million used cars and growing demand for electric vehicles.
Furthermore, Carro plans to expand its wholesale operations in Australia, which includes importing vehicles from Japan. Wholesale operations involve selling vehicles in bulk or to dealers, as opposed to direct sales to individual consumers.
Founded in 2015, Carro has secured over S$700 million ($545.6 million) in funding from investors including SoftBank Vision Fund and several sovereign funds. The company employs more than 4,500 people and has a presence in Singapore, Malaysia, Indonesia, Thailand, Japan, Taiwan, and Hong Kong, in addition to its new Australian operations.