GoMechanic Secures $42 Million Series C Funding; Plans To Explore Global Opportunities

Auto after-sales service and spare parts startup, GoMechanic, today announced securing an investment of $42 million, nearly Rs. 312 crore, in Series C funding. It is the fourth round of institutional funding for GoMechanic, and this one was led by Tiger Global Management with the existing investors - Sequoia Capital India, Orios Venture Partners & Chiratae Ventures participating. The company says that the new funds will be used to accelerate GoMechanic's growth and expansion in Tier 2 and Tier 3 cities in India, in addition to ramping up the technology team and launching operations in the international markets.

Commenting on receiving the new round of funding the founders of GoMechanic said," We are thrilled to welcome Tiger Global as our partner at the cusp of our next phase of growth. The current fund raise is further validation of the hard work put in by the GoMechanic team over the last 5 years and further cements our position as the undisputable market leader in the auto aftermarket ecosystem. We will continue to invest in expanding our operations and spare parts supply chain in India while also exploring global opportunities. Our intention is to make India the innovation hub in auto aftermarket technology and services similar to how it has become a manufacturing hub for a lot of global auto players."

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GoMechanic was founded by Kushal Karwa, Amit Bhasin, Rishabh Karwa and Nitin Rana in 2016

Abhishek Mohan, Principal, Sequoia India, said, "Since Sequoia Capital India first partnered with GoMechanic in 2018, the company has had a very strong growth trajectory. It has expanded geographically to several cities and made a deep foray into spares which is a USD 7 billion opportunity with large profit pools." RehanYar Khan, Managing Partner, Orios Venture Partners, added, "We invested with them at Seed and every round after and are delighted to see the heights they have taken the space to. We welcome Tiger Global, on this mission to transform car ownership experience with more smiles per mile."

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Whereas, Ranjith Menon, Executive Director of Chiratae Ventures said, "Delivering personalized experiences to the end consumer while standardizing the processes on the supply side through technology will enable GoMechanic to become the breakout brand." Back in June 2020, Hero MotoCorp's Chairman, MD & CEO, Pawan Munjal also made an undisclosed amount of investment in GoMechanic.

Other investors of GoMechanic welcome the addition of Tiger Global Management

Founded in 2016 by Kushal Karwa, Amit Bhasin, Rishabh Karwa and Nitin Rana, GoMechanic is one of the popular after-market car repair and service provider. The company makes bulk procurement of spare parts from OEMs and has zero real-estate overheads, which it says, results in significant savings that are passed onto the customers. Currently, GoMechanic has over 600 car repair workshops across 35 cities in India, including Delhi-NCR, Hyderabad, Mumbai, Pune, Bengaluru, Chennai and Kolkata. It currently services 2+ million cars annually and is targeting 10 million customers by 2021.