Zoomcar in India raises $92 million to expand its car rental business into new markets – TechCrunch

Zoomcar said on Monday it has raised $92 million in a new funding round as it plans to expand its car-sharing market to many new countries and explore public markets next year.

New York-headquartered SternAegis Ventures led the startup’s eight-year Series E funding round, the two said.

Bangalore-based Zoomcar, which has raised $207 million so far, allows users to rent cars on a monthly, weekly, daily or even hourly basis. The startup, which counts India as its biggest market, operates in multiple countries, including many in Southeast Asia and MENA regions.

The Sequoia Capital India-backed startup, which employs more than 300 people, claims to have amassed more than 10,000 cars on its platform. Zoomcar works with individuals, SMEs that operate fleets and semi-professionals that have a few cars to source cars from its marketplace.

It also maintains partnerships with banks and insurance companies and offers a range of cars, from compact to luxury and “everything in between”. He expects his platform to be heavily focused on electric vehicles in the medium term, as he sees great potential in the space, said Greg Moran, co-founder and chief executive of Zoomcar, highlighting the inroads that Turo and other companies have made in this category in several developed markets.

“We are the largest emerging market-focused marketplace for carsharing in the world. Think of us as Airbnb for cars, but for emerging markets,” he said in an interview with TechCrunch.

“Globally, there are about 35 countries that are emerging markets. All have less than 10% car ownership. In fact, most of them own a car at less than 5%. So you have a huge middle class that just doesn’t have access to private cars. But they have to use these cars twice a month,” he said.

Moran said the startup will deploy the new capital to expand the market into more than 20 countries over the next 18 months.

Zoomcar is also currently aiming to file for an IPO next year, Moran said, adding that he was evaluating listing on a US stock exchange. (That matches several Bangalore-based startups that also plan to list on Nasdaq and the New York Stock Exchange over the next two years.)

“Zoomcar sits at the intersection of several powerful global trends in urban mobility. At SternAegis, we are thrilled to support the impressive Zoomcar team in realizing their vision to create the best carsharing experience in the hottest markets. dynamic and fastest growing in the world,” Adam Stern, managing director of SternAegis Ventures, said in a statement.