CarTrade Tech completes acquisition of OLX India's auto business for Rs 535.54 Cr
CarTrade, in collaboration with OLX, will attract roughly 68 million average monthly unique visitors and have 32 million listings on an annual basis.
Auto platform Tech Limited has acquired 100% stake in Sobek Auto India Private Limited (Sobek) from its holding company India. The acquisition, which was announced in July, is for a cash transaction of Rs 535.54 crore for equity shares of Rs 75.09 lakh.
Sobek is incorporated under the Companies Act, 2013. It consists of the OLX Autos transaction businesses and the OLX classifieds platform (auto and non-auto).
As per a stock exchange filing, Sobek Auto reported a turnover of Rs 1,110.4 crore for FY22, up from Rs 592.3 crore in FY21.
The CarTrade Tech group, in collaboration with OLX, will attract roughly 68 million average monthly unique visitors and have 32 million listings on an annual basis, according to a report by MoneyControl.
The combined vehicles auctioned would be approximately 1.3 million annually. In total, there would be more than 4,000 employees, with a physical presence in over 100 cities.
“The acquisition is in furtherance of the strategic objectives of the company to undertake investments which provide synergistic benefits to the existing businesses of the CarTrade Tech,” the company said, in the stock exchange filing.
In February this year, Mumbai-based used car platform Car Trade Tech launched a venture arm, CarTrade Ventures, to invest up to Rs 750 crore over five to seven years, in areas such as auto finance, leasing, insurance, servicing, car ownership, electric vehicles, clean energy, and new-age technologies.
The company, which said the capital would be invested through the profit generated and funds available, could also possibly acquire some of these ventures.
Edited by Megha Reddy