Carousell Group raises US$100 million for SEA rollout
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Carousell Group, the leading classifieds group in Greater Southeast Asia, today announced that it has secured an investment of US$100 million to accelerate its leadership in the region, and to reimagine the classifieds experience with a focus on convenience and trust, to make secondhand the first choice.
This round of funding, led by STIC Investments, a leading Korean private equity that invests across Asia, marks a significant milestone that will bring Carousell’s valuation to US$1.1 billion. The investment will power the group’s ambitions to redefine commerce for secondhand goods and automobiles in an increasingly digitally savvy, affluent and sustainability-conscious region.
“The pandemic has shown us that our mission to inspire the world to start selling and buying secondhand is more relevant than ever. People in the community are using our platforms to make more possible for each other—through shared passions, making ends meet, affording what they need, or simply because it is more sustainable. We believe that the accelerated adoption of digital experiences is an opportunity for us to double down on our recommerce efforts with a focus on convenience and trust, to unlock step-change growth in our community,” said Quek Siu Rui, Co-founder and CEO of Carousell. “STIC’s investment is a validation of our mission and strategic direction. We’ll deepen our investments in recommerce across more categories and markets, and will continue to seek opportunistic acquisitions in scaling up.”
“We have been monitoring Carousell as one of the leading platforms in Greater Southeast Asia, and are excited to partner up with a significant stake in its growth story,” said Jason Cho, Managing Director of STIC Investments. “Carousell continues to achieve tremendous user growth as they transform the recommerce market, adding new features that are focused on creating trusted marketplaces and enhancing overall user experience. We are highly confident that Carousell will be at the center of the secondhand economy in this region at a time when an increasing number of socio-economic and environmentally conscious consumers are shifting towards a circular economy”. As part of the funding round, Mr. Cho will join the Carousell Board of Directors.
“We have grown way beyond categories like fashion, electronics and general goods,”
Since its founding in 2012, the Group serves a community of tens of millions of users across eight markets in Greater Southeast Asia under the brands Carousell, Mudah.my, Cho Tot and OneKyat. Carousell’s pioneering mobile-first approach reignited the classifieds space, making selling and buying easier and proving to be an essential one-stop shop across all categories.
“We have grown way beyond categories like fashion, electronics and general goods,” said Siu Rui, “As the region becomes more affluent, people want to enjoy the finer things in life. We are looking at authentication capabilities for higher-value products, including luxury goods and cars. Our goal is to make transacting in a secondhand marketplace as convenient and trusted as any e-commerce platform so that secondhand can truly be the first choice.”
This year alone, Carousell has piloted a Certified Mobiles programme in Singapore, offering a 12-month warranty for used mobile phones to offer users a like-new experience at secondhand prices, and launched integrated shipping with PosLaju (the Malaysia national postal service) to provide contactless transaction options for sellers and buyers during the Movement Control Order. Carousell Auto Group, which was formed earlier this year to leverage its regional leadership position in car classifieds, has in a short period rolled out a Certified Autos programme in Malaysia that achieved the largest inventory of certified cars in the country, with other key markets to follow
“We are grateful and privileged to have investors, teammates and users who believe in our mission and our journey in building a meaningful and enduring company,” Siu Rui added.
Questions & Answers
Q.What is the primary purpose of the US$100 million investment Carousell Group has secured?
What is the primary purpose of the US$100 million investment Carousell Group has secured?
The investment aims to accelerate Carousell's leadership in Greater Southeast Asia and to redefine the classifieds experience. It will also power ambitions to redefine commerce for secondhand goods and automobiles in the region.
Q.What is Carousell Group's valuation after this latest funding round?
What is Carousell Group's valuation after this latest funding round?
This round of funding brings Carousell Group's valuation to US$1.1 billion. STIC Investments led this funding round, which is described as a significant milestone for the company.
Q.Which specific initiatives has Carousell Group undertaken this year to enhance user experience and trust?
Which specific initiatives has Carousell Group undertaken this year to enhance user experience and trust?
This year, Carousell piloted a Certified Mobiles programme in Singapore with a 12-month warranty. They also launched integrated shipping with PosLaju in Malaysia and a Certified Autos programme in Malaysia.
Q.What new categories or product types is Carousell Group focusing on for future development?
What new categories or product types is Carousell Group focusing on for future development?
Carousell Group is looking at authentication capabilities for higher-value products, including luxury goods and cars. Their goal is to make transacting in these secondhand marketplaces as convenient and trusted as e-commerce.
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