Used car mart Zoomo raises $5 mn from SAIF Partners

Bangalore-based online marketplace of pre-owned cars, Zoomo, has raised $5 million in series A round from SAIF Partners, a venture capital firm with over $4 billion under management. The investment will be used to strengthen their operations, technology and product leadership. In December 2014, the company had received $1 million in seed funding led by SAIF Partners.

The peer-to-peer platform for used car transactions helps people buy verified, pre-inspected cars from direct owners without paying any brokerage. It operates in Bangalore & Mumbai, and plans to soon launch in Delhi, Pune, Hyderabad & Chandigarh.

The other players in this space include CarTrade.com (backed by Tiger Global), CarDekho.com (backed by Sequoia Capital), Carwale.com (by Axel Springer & India Today Group) and Times Group-owned Zigwheels.com. OLX and Quikr also competes in this space through horizontal classifieds.