Pune-based Iradium Automobiles Private Limited, which owns SparesHub.com, has secured an undisclosed amount in Pre-Series A investment from Hyderabad Angels and Singapore based M&S Partners.
SparesHub.com is an e-commerce marketplace for automobile parts and services, co-founded by Tapas Gupta and Arijit Chakraborty with the view to organise the automobile parts and services industry using technology.
Hyderabad Angels was the lead investor in this round; accordingly, Prasad Vanga, an investor with Hyderabad Angels and P S Sreekanth, investment director at Hyderabad Angels, will join the board as director and observer, respectively.
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SparesHub will use the funds to expand existing operations, improve technology infrastructure and enrol more participants in its marketplace. It has entered into agreements with multiple car makers and parts manufacturers to offer their range of after-market spares online
“We are excited to back SparesHub. The automotive spare parts market in India is growing and needs better quality & original spares directly delivered to consumer in the most efficient way. We feel the team at SparesHub will have many happy customers ”, said of Anthill Ventures.
SparesHub is also a portfolio company of Delhi-based 91Springboard; Varun Chawla from 91Springboard serves as an advisor to the startup. SparesHub is currently a team of nine automobile enthusiasts and is looking to hire aggressively.
“There is a lot of start-up activity going on globally in the automotive and transportation industry because of the large size of the market. There is tremendous scope of disruption using technology as an enabler in the global as well as Indian market. The company’s vision and passion are shared unequivocally by the incoming investors.” says Tapas Gupta, CEO of SparesHub.com.
Gupta and Arijit Chakraborty, who were classmates during their post-graduation and shared a common passion for cars and bikes, founded SparesHub 18 months ago.
It currently offers more than 40,000 car parts across multiple brands and model and has partnered with 25+ car service centres across West India to offer them replacement parts. It’s customers have high customer lifetime value and repeat purchase rates as automobile parts are high ticket value items. The company plans to open multiple sourcing hubs across India.
“There are immense opportunities in the Indian automobile industry for technological innovation and new solutions. Global automotive best practices are making inroads in India. We are proud to back SparesHub.com to lead this change and help it in it’s global expansion” adds Hiro Mashita, founder & director, M&S Partners, Singapore.
Global counterparts of SparesHub are Chinese auto parts Internet company Tuhu, which recently raised $100 million in Series C investment and US based Repair-Pal which raised $13 million in funding in early 2013.