We’ve updated with an interview with Vinay Sanghi, CEO, MotorExchange and Alok Mittal, MD, Canaan Partners India.
MotorExchange, a company promoted by Vinay Sanghi, the former CEO of Mahindra First Choice, and former eBay India Head Rajan Mehra has raised venture capital funding from Venture Capital firm Canaan Partners.
MotorExchange is a business that targets institutional sellers of used Vehicles, like banking and finance companies selling repossessed vehicles or corporates selling to business buyers. It plans to build India’s first recognized vehicle certification business aimed at authenticating the condition of the car to facilitate transactions for buyers and sellers. Market participants include businesses like dealers (new and used), banks, corporates and fleet owners, and the exchange intends to provide the most efficient price in defined timelines to sellers, and the largest choice of vehicles to trade buyers.
MotorExchange had also acquired the business of B2C auto portal CarTradeIndia earlier this year, in an all stock deal. It has a transaction fee based model, while CarTradeIndia has a listing model and lead generation based model. MotorExchange competes in India with eBay India’s B2B business for motors.