OLX Group, the online classifieds business of the Prosus, which is a global consumer internet group and the technology investor, will now be going to invest around $400 million in the Berlin-based online car marketplace Frontier Car Group, said the announcement.
OLX Group will now invest in around $400 million, comprises a primary injection of capital in the FGC and others.
Martin Scheepbouwer, CEO of OLX Group, said, in the statement, “Together with FCG, we are aiming to build the leading global used car marketplace, offering a premium and convenient service to millions of car buyers, sellers and dealers. We’re in a unique position to accelerate the expansion of this platform worldwide.”
“Our joint venture with FCG in India will enable us to grow OLX CashMyCar as the leading pre-owned car offline marketplace by offering a reliable and convenient service to the entire pre-owned car ecosystem comprising of car buyers, sellers and dealers. OLX CashMyCar stores have tripled their presence across India in the last year and car purchase volumes are growing by 10% month-on-month with over 1 million users being engaged since January 2019, ” Bhaskar Bagchi, General Manager, OLX Cash My Car, India, said, in the statement. “The low motorization rate and increasing aspiration exhibited by car buyers and sellers will enable us to expand our presence to 150 stores across 40 cities by 2021 from 75 stores across 17 cities currently,” he added.